Thursday 27 August 2015

Ezra Holdings Limited ("Ezra") and Chiyoda Corporation ("Chiyoda") today announced that they have signed a binding Memorandum of Understanding ("MOU") for Chiyoda to invest in Ezra's Subsea Services business, EMAS AMC, to form EMAS CHIYODA Subsea – a 50:50 Joint Venture.

About Ezra and Chiyoda

Founded in 1992, Ezra is a leading contractor and provider of integrated offshore solutions to the oil and gas industry. Under the EMAS branding, Ezra operates in more than 16 locations across six continents spanning Africa, the Americas, Asia, Australia and Europe.

Chiyoda is a world leading Front End Engineering Design (FEED) and Engineering, Procurement and Construction (EPC) company in the oil and gas industry, with a history of almost 70 years of project experiences world-wide.

Value proposition

EMAS AMC has established itself as a leading subsea Engineering, Procurement, Construction and Installation ("EPCI") contractor with world class construction vessels such as the Lewek Constellation.

Through this partnership, EMAS CHIYODA Subsea will be able to undertake larger and more complex offshore EPCI projects through a combination of capabilities and resources in the following areas:

i. Project management capability backed by technologically advanced assets

ii. Global network of engineering centres

iii. Supply chain management capability and global vendor networks

iv. Wider global client networks

v. Research and development capabilities in engineering and construction technologies

vi. Financial strength

Chiyoda's involvement will begin early in the concept development phase of offshore projects together with EMAS CHIYODA Subsea, where the ability to influence cost is the greatest. EMAS CHIYODA Subsea will then use its technologically advanced fleet and operational expertise to deliver these solutions offshore.

Mr Shogo Shibuya, President and CEO of Chiyoda, said, "This is a very important milestone for us. It has been Chiyoda's corporate strategy to strengthen the offshore upstream portfolio as Chiyoda's next core business.

"With the establishment of EMAS CHIYODA Subsea, we are in a position to provide comprehensive services to our clients, from early phase concept study to EPCI, throughout the lifecycle of any offshore oil and gas project. Chiyoda is excited about this new opportunity and glad that we can jointly work with an excellent subsea player, EMAS AMC."

Mr Lionel Lee, Group CEO and Managing Director of Ezra, said, "This JV will allow us to realise our vision of being a trusted partner and leader in the subsea construction business. It will enable us to undertake large complex EPCI projects, as well as full field developments, which combine onshore and offshore facilities. Chiyoda will be able to lend tremendous support in many areas of our business operations."

Press Release