Seatrium to sell AmFELS shipyard to Turkey’s Karpowership

Seatrium CEO Chris Ong: Notwithstanding the AmFELS divestment, the U.S. market remains important to us.

Singapore-headquartered Seatrium Limited has announced that it has reached an agreement to divest its AmFELS shipyard in Brownsville, Texas, to Turkey’s Karpowership, for a consideration of SGD 65 million (about US$50.1 million) .

The asset sale is being executed through Seatrium’s subsidiary, Seatrium AmFELS Inc., which has entered into a binding agreement with Karpower Valley LLC, a related party of Karpowership.

Seatrium says that it “remains committed to completing all ongoing projects at AmFELS Yard by the end of 2025, ensuring a smooth and responsible transition for its customers and partners.”

The announcement comes within days of the news that one significant AmFELS project, construction of the Charybdis, the first WTIV to be built in the U.S.A, has completed with the vessel’s arrival at Portsmouth Marine Terminal in Virginia.

Commenting on the sale, Seatrium CEO Chris Ong, said, “We have a strong and longstanding relationship with Karpowership, and are pleased to entrust the yard to a partner with whom we will continue to deepen our collaboration. Notwithstanding the divestment, the U.S. market remains important to us. We will continue to leverage our global footprint and integrated One Seatrium Delivery Model to deliver world-class solutions to our U.S. based and global customers in the offshore and energy sectors.”

Following the AmFELS asset divestment, Seatrium says that it will transition its strategic presence in the U.S. to focus on engineering innovation and technology capabilities, through its technology centers and offices located in Houston, Texas, and service center in Vicksburg, Miss, to support the evolving needs of its customers.

The consideration was arrived at after arm’s length negotiations with Karpowership and will be satisfied in cash, of which SGD50 million is deferred and to be paid one year after closing.

The book value of the divested assets as at June 30, 2025, sold on an “as is, where is” basis, is approximately SGD 39 million. The completion of the divestment is subject to customary closing conditions, including the transfer of the lease to the new owner by the Port of Brownsville.