Date:11/04/2006 URL: http://www.thehindubusinessline.com/2006/04/11/stories/2006041103370300.htm

Back Dolphin Offshore plans to buy barge

Pratim Ranjan Bose

Kolkata , April 10

Soon after placing orders for acquisition of two work boat-cum-supply vessels costing $ 6.65 million (around Rs 24.5 crore) each, Dolphin Offshore Enterprises (India) Ltd is now planning to place order for a construction barge shortly. Now in the final stages of preparing the technical specifications, the vessel would cost between $15 million and $17 million. The company offers integrated services to the offshore oil and gas sector.

VESSELS DELIVERY

"With the acquisition of three vessels, we would complete our $30 million expansion programme. All the vessels will be delivered between September and October 2007. The acquisition would support our increased thrust in securing Engineering Procurement Installation and Commissioning contracts for oil and gas sector in India and abroad," Mr Navpreet Singh, Joint Managing Director (Finance), told Business Line.

The expansion programme is financed through internal accruals and the issue of $15 million foreign currency convertible bonds in December 2005. After the issue, the debt-equity ratio of the company stands at 1.5:1.

INVESTMENT IN FABRICATION

In tune with its latest interest in on-shore jobs, an investment of Rs 5-10 crore is also planned towards fabrication facility.

Talking about its revenue model, Mr Singh said that close to 95 per cent of its turnover (Rs 135 crore in 2004-05) is contributed directly or indirectly by ONGC.