Brightoil Petroleum announces extension of completion and delivery of ten vessels
Reference is made to the announcement of Brightoil Petroleum (Holdings) Limited dated 30 December 2015 in relation to the connected transaction on acquisition of ten vessels from Shenzhen Brightoil Shipping.
On 30 December 2015, Singapore Subsidiary and Shenzhen Brightoil Shipping entered into the Vessels Acquisition Agreement, pursuant to which Shenzhen Brightoil Shipping agrees to sell, and Singapore Subsidiary agrees to purchase ten vessels for a total cash consideration of US$84,000,000 (equivalent to approximately HK$651,3 33,480).
In pursuance to the Vessels Acquisition Agreement, Singapore Subsidiary is entitled to require Shenzhen Brightoil Shipping to enter into a separate Memorandum of Agreement with reasonable amendments on terms consistent with the vessels acquisition agreement to document the sale of each of the Vessels to the Singapore Subsidiary or its associates, at the sole discretion and option of Singapore Subsidiary.
The expected delivery dates and cancellation dates for the ten vessels were: for the first two vessels, on 31 March 2016 and 30 April 2016; for the subsequent two, on 30 June 2016 and 31 July 2016; for the subsequent three, on 30 September 2016 and 31 October 2016; and for the last three, on 30 November 2016 and 31 December 2016. As at the date of this announcement, the hull, mach inery and equipment of the first vessel is ready to be delivered to the buyer and undergoing the local regulatory formalities for exportation. Due to the unexpected length of time required for o btaining the necessary certificates, approvals and permits from the governmental authorities, delay is expected to occur to the delivery schedule.