Japanese shipping giant Nippon Yusen Kabushiki Kaisha (NYK) has agreed to invest in EMAS Chiyoda, a subsea services joint venture between oilfield services firm Ezra Holdings Ltd and Chiyoda Corp.
NYK has reached an agreement with Ezra Holdings Limited (Ezra) and Chiyoda Corporation (Chiyoda) to acquire a 25 percent share of EMAS Chiyoda Subsea Limited (ECS). After NYK’s participation, the shareholding structure of ECS will change to Ezra 40%, Chiyoda 35%, and NYK 25%.
ECS is a global player in the engineering, procurement, construction, and installation (EPCI) of subsea facilities — essential components in offshore oil and gas field development.
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/development. NYK currently offers seismic, drilling, production, and shuttle transportation services, and entry into the subsea 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.
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 promotion, creation, and 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 we believe that we can further support the government’s initiatives through this new partnership with ECS. NYK will strive to enhance its capabilities in offshore resource development, including those in the exclusive economic zone of our home country.
NYK will seek to further expand its offshore business developments in accordance with the company’s medium-term management plan.
