History

Master Marine AS is a privately owned limited liability company, incorporated in Norway on 25 October 1997 with company registration number 879 342 732.

During the early years, the company was involved in several heavy lift assignments and also developed a new innovative vessel concept for offshore installation/decommissioning of oil & gas topsides, windmill installations and similar assignments. In March 2007, the company entered into a contract with Labroy Shipyard (later Drydocks World Graha) located at Batam Island, Indonesia for the construction of two large multipurpose self-elevating service vessels.

Subsequently, Master Marine successfully raised more than 210 MEUR in equity and loans to partly finance the construction of the two units.

In October 2008, Master Marine was awarded a 3 year fixed (plus 2 x 1 year options) charter hire contract from ConocoPhillips for an accommodation unit at the Ekofisk field in the Norwegian sector of the North Sea and the first service unit (later named HAVEN) was modified and converted accordingly. In April 2009, Master Marine was awarded a 7 month charter hire contract from Statoil to use the second service unit (later named NORA) to install wind mills at the Sheringham Shoal field in the UK sector of the North Sea. The combined contract value was close to 500 MEUR.

During the fall of 2009, as a consequence of the financial crisis that hit the world the year before, the company successfully restructured its entire capital base and secured new equity of 130 MEUR in addition to 140 MEUR of new loans from Nordic Capital, a Jersey based private equity fund that became the owner of more than 80% of the company’s stock. Master Marine was subsequently delisted from OTC. In April 2010, the Company secured a 155 MEUR loan facility from an international bank syndicate replacing most of the sponsor loan from Nordic Capital.

Following riots at the yard in late April 2010, construction delays became apparent.  Master Marine decided to take early delivery of HAVEN in June 2010 and moved it to the Nymo yard in Eydehavn, Norway, for completion and outfitting. Problems at the Graha yard continued and as a result the company and Statoil agreed in December 2010 to terminate the NORA charter hire contract. Due to continued slow progress, massive delays and late/inadequate extension of refund guarantees, Master Marine cancelled the construction contract for NORA in April 2011. Following successful arbitration in Singapore, all prepayments for NORA were repaid to Master Marine in March 2011. All owner furnished equipment was subsequently sold to Labroy Offshore and disputes with the yard were finally settled in April 2012.

HAVEN was completed in July 2011 and was immediately mobilized to the Ekofisk field in the North Sea where it commenced operation under the ConocoPhillips contract. The technical management of HAVEN was outsourced to OSM Offshore AS. The operation during the contract period of four years has been successful with 100% availability to ConocoPhillips.