We refer to the contracts for the design and construction of six semisubmersible drilling rigs entered into with the respective Sete Brasil Participações S.A.'s entities (Sete Brasil).
Keppel has been informed by Sete Brasil that the shareholders of Sete Brasil had, on 20 April 2016, approved a resolution for Sete Brasil to file for a judicial recovery.
Keppel has stopped work on the rigs since last year and will not resume construction until payment re-commences.
Keppel had made a provision of about S$230 million for these contracts in the last financial year. We continue to believe that the provisions are sufficient.
We have been monitoring and will continue to monitor and evaluate the situation with our advisers to best protect Keppel's interests. We will provide further updates as appropriate.
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For more information, please contact:Media Relations
Investor Relations
Roy Tan
Senior Manager
Group Corporate Communications Keppel Corporation Limited
Tel: (65) 6413 6421
Email: roy.tan@kepcorp.com
Ms Ivana Chua
Assistant General Manager
Group Corporate Communications Keppel Corporation Limited
Tel: (65) 6413 6436
Email: ivana.chua@kepcorp.com
Keppel Corporation Ltd. issued this content on 26 April 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 26 April 2016 14:22:20 UTC
Original Document: http://www.kepcorp.com/en/download.ashx?id=9998