Japan-based Nippon Yusen Kabushiki Kaisha (NYK) entered into a deal to aquire 25% interest EMAS Chiyoda Subsea Ltd. (ECS).
The agreement between NYK, Ezra Holdings and Chiyoda Corp. will see the shareholding structure of ECS change to Ezra 40%, Chiyoda 35%, and NYK 25%.
Based on its ‘More than Shipping 2018’ medium-term management plan emphasizing differentiation through the use of creative solutions, NYK has been expanding its business in offshore oil and gas exploration.
The firm currently offers seismic, drilling, production, and shuttle transportation services. Entry into the subsea engineering, procurement, construction, and installation (EPCI) segment will enable the company to further extend its service range in the offshore oil and gas value chain.
“Subsea EPCI work requires highly advanced engineering capabilities and a specialized skillset utilizing sophisticated subsea construction vessels, so NYK is confident that the expertise it has accumulated in the offshore business field, as well as the company’s long-standing competence in oil and gas shipping, will make a positive contribution to the joint-venture company,” it said in a statement.
The ‘Basic Plan on Ocean Policy’, an act approved by the Cabinet of Japan in April 2013, stipulates a vision of Japan as an oceanic state, and encourages the development of maritime industries and marine resources, in addition to human resources having maritime technological capabilities.
NYK has been developing its offshore business in line with this basic plan, and believes that it can further support the government’s initiatives through this new partnership with ECS.