Bumi Armada Berhad secures syndicated Indian banks term loan facilities of up to US$276.4-million for FPSO 'Armada Sterling'.

Malaysia-based international offshore oil and gas services provider, company Bumi Armada Berhad announced today that its jointly controlled entity, Armada D1 Pte. Ltd. (Armada D1) has secured syndicated term loan facilities of up to USD276.4 million (facility) from Allahabad Bank, Bank of Baroda, Bank of India, Indian Bank, Indian Overseas Bank, UCO Bank and Union Bank of India.

The facility will be used to part finance all costs and expenses in relation to the acquisition, conversion, refurbishment, mobilization, transport, hook-up, and mooring and installation of the FPSO* Armada Sterling and to refinance Armada D1’s existing bridge loans.

Armada D1 is a joint venture company between Bumi Armada Berhad and Shapoorji Pallonji and Company Limited, India, whose principal activities are owning, chartering and managing ships and vessels, and providing marine support and other offshore services to oil and gas .

Bumi Armada’s Executive Director/CEO, Mr Hassan Basma said, “Our commitment to our delivery model of Global Execution, Local Delivery, our shared value chain and our collaborative approach vis a vis our partners, the SP Group and Keppel, have together enabled us to deliver this FPSO in record time.“

"“As the Armada Sterling was built for India, Bumi Armada together with our partners sought to engage and involve Indian financial institutions. We welcome these banks to our value chain and thank them for their invaluable support; and providing financing at competitive rates despite a backdrop of global economic uncertainty playing out across the US and Europe