NEW HEADS OF AGREEMENTS AND CONTEMPLATED PRIVATE PLACEMENT
2/13/2013 10:49 AM EST
Oslo, Norway, 13 February 2013 - Dolphin Group ASA
(OSE:DOLP)
Dolphin Group ASA ("Dolphin") today announces that it
has entered into two new heads of agreements with GC
Rieber Shipping for two high-end 3D seismic vessels.
At the same time, Dolphin announces that it intends
to redeliver Artemis Arctic following the expiration
of the fixed contract term. Combined with the recent
redelivery of Polar Explorer, this confirms Dolphin's
strategy to operate a fleet of high-end modern 3D
vessels.
The first vessel, Geo Atlantic, is an existing 3D
seismic vessel built in 2002 which will be upgraded
by the owner to a 14 streamer seismic vessel at a
yard in Singapore. The vessel is expected to be
delivered to Dolphin in the 4th Quarter 2013. The
agreement has a fixed contract term of three years
and 6 months, with additional options for 2+2 years
extensions.
The second vessel, newbuild, is a top-end 22-streamer
3D seismic newbuild vessel with highest ice-class, to
be constructed at Kleven yard in Norway and expected
delivery to Dolphin in March 2015. The vessel is
based on an upgraded version of the proven design
used for Polar Duke and Polar Duchess. The agreement
has a fixed contract term of five years, with
additional options for 2x3 years extensions.
As part of the two new charter agreements, Dolphin
has extended the firm contract term for Polar Duchess
with 2 years to give a total initial firm period of 5
years.
"Through the new charter agreements with GC Rieber
Shipping, Dolphin continues its effort to improve and
optimize the fleet through securing high-end vessel
capacity at competitive cost levels in a strong
market for seismic services. The two vessels add to
our ability to operate efficiently and safely in both
mature hydrocarbon basins and frontier exploration
provinces. In mature areas such as the N. Sea, the
ability to tow a high number of closely spaced
cables, coupled with our broadband technique SHarp,
will provide our clients with higher resolution which
is vital for optimal finding and development of
smaller fields. In frontier regions, their high
propulsion power, sea keeping abilities, high transit
speed and large paravanes enable us to tow industry
leading, ultra-wide spreads and thus allow cost
effective 3D exploration.
Based on our positive view on the seismic market, we
believe the new charter agreements will create
significant shareholder value", states Atle Jacobsen,
CEO in Dolphin.
Dolphin has retained SEB and Pareto Securities as
Managers and bookrunners (the "Managers") to advise
on and effect a contemplated private placement
("Private Placement") of up to 30 535 000 new shares
directed towards investors in Norway and
internationally, raising gross proceeds of up to USD
41 million (approx. NOK 230 million). The proceeds
from the Private Placement will be used to finance
the equity part of the streamer package for Geo
Atlantic as well as for working capital purposes.
The new shares will be issued pursuant to the
authorization to the Board of Directors granted at
Dolphin's Extraordinary General Meeting held on 31
May 2012. Completion of the Private Placement is
subject to the approval by the Board of Directors.
The application period commences on 13 February 2013
at 16:30 (CET). The subscription price will be set
through a bookbuilding process. The minimum order
size in the Private Placement has been set to the
number of shares that equals an aggregate purchase
price of at least the NOK equivalent of EUR 100,000.
Dolphin expects to report fourth quarter 2012
consolidated revenues of approximately USD 75.5
million, of which approximately USD 8 million is net
revenues generated from sale of Multi-Client seismic
data. The preliminary EBITDA and EBIT is estimated to
be approximately USD 26.5 million (35.1%) and USD
16.3 million (21.6%) respectively and net income
after tax of USD 14.3 million. Due to high vessel
deployment in the contract seismic market for fourth
quarter, Dolphin has only cash invested USD 5.5
million in new Multi-Client projects for the quarter,
with early participant commitment of USD 4.7 million
(85.5%). Dolphin will publish its complete fourth
quarter 2012 financial results on 26 February.
Please find attached Dolphin Company presentation as
per 13 February 2013
This information is subject of the disclosure
requirements acc. to §5-12 (Norwegian Securities
Trading Act).
For further information, please contact:
Atle Jacobsen, CEO
Mobile: +47 97 71 53 36
E-mail:
Erik Hokholt, CFO
Mobile: +47 90 75 60 64
E-mail:
Phone: +47 55 38 75 00
www.dolphingroup.no
www.dolphingeo.com
Dolphin Group ASA is the parent company of Dolphin
Geophysical AS, a global full-range, asset light
supplier of marine geophysical services. Dolphin
operates a fleet of new generation, high capacity
seismic vessels and offers contract seismic surveys
and Multi-Client projects and processing services on
a worldwide basis. Dolphin Group ASA is listed at
Oslo Stock Exchange (OSE ticker: DOLP).
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