May 20, 2010
Oceaneering to acquire DMT Sapphire
Oceaneering International, Inc. (NYSE:OII) announced it was the high bidder to acquire the DMT Sapphire from an affiliate of Deep Marine Technology, Inc. (DMT), under a bankruptcy-sponsored auction proceeding. The bid was $16.5 million.
Deep Marine Holdings, Inc. and five affiliates filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Southern District of Texas on December 4, 2009.
The Class 2 dynamically positioned vessel DMT Sapphire (formerly the Kelly Ann Candies) was acquired by Deep Marine in 2007. The U.S. flagged and built subsea support vessel was commissioned in 2002, is 237 feet long, and will be delivered to Oceaneering at a Louisiana shipyard, subject to approval of the sale at a court hearing scheduled for June 2, 2010.
Oceaneering intends to make an additional investment to upgrade the DMT Sapphire. The vessel will have an Oceaneering saturation (SAT) diving system permanently installed onboard and be outfitted with a new crane and telecommunications, video, and survey equipment. It will be renamed at a later date.
T. Jay Collins, President and Chief Executive Officer, stated, "Our Subsea Projects business has performed admirably for the past five years and created an excellent reputation for SAT diving service work in the Gulf of Mexico. This pending acquisition is consistent with our intent to augment our vessel fleet by purchasing quality assets at attractive prices.
"Assuming the court approves our bid, the addition of the DMT Sapphire should be accretive to our earnings in 2011."