In a stock market announcement, Tanjung Offshore said the deal that would have seen it return to the offshore services vessel (OSV) market, was mutually called off without any legal and financial recourse against any of the parties involved.
Other parties involved in the deal besides Tanjung Offshore are the vendors comprising of Singaporean oil and gas veteran Farid Khan Kaim Khan and his business partners, Mower Tunggal Jaya PT, Megagold Indonesia PT and Zona Maju Mapan PT and Bourbon Far East.
“The parties have decided to mutually terminate the proposals as the economic and financial conditions for an agreement satisfying both parties cannot be met in view of the declining oil prices.
“The mutual termination is not expected to have any material impact on the net assets and profitability of Tanjung for the financial year ending Dec 31, 2014,” the announcement said.
Tanjung Offshore had announced the proposed RTO deal to acquire the marine offshore businesses from Bourbon Far East in June. However, the company’s share price has been on a decline since with current levels around half of what they were in the middle of the year.
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