Dryships announces cancellation of one of the PSV contracts with Petrobras
DryShips Inc., an international owner of drybulk carr iers and offshore support vessels, announced today that Petroleo Brasileiro S.A. (Petrobras) has given notice of termination on the contract for the platform supply vessel (PSV) Vega Crusader effective as of March 6, 2016.
The contract of the Vega Crusader was expiring on January 8, 2017 and this termination represents a loss in contracted EBITDA of approximately $2.2 million for the balanc e of 2016. Given the prolonged market downturn in the drybulk segment and the continued depressed outlook on freight rates, DryShips is presently engaged in discussions with its lenders for the restructuring of its debt facilities.
While discussions are ongoing, DryShips may elect to suspend principal repayments to preserve cash liquidity.
About DryShips
DryShips Inc. is an owner of drybulk carriers and o ffshore support vessels that operate worldwide. DryShips also owns approximately 40% of the outstanding shares of Ocean Rig UDW Inc., an international drilling contractor. DryShips owns a fleet of 23 drybulk carriers, comprising 3 Capesize and 20 Panamax vessels with a combined deadweight tonnage of approximately 2.1 million tons, and 6 offshore supply vessels, comprising 2 platform supply and 4 oil spill recovery vessels.
