Asia/Pacific News
Brightoil: "Healthy" Amount of Cash Available Despite Loan Terms Breach
Operations of Brightoil Petroleum Holdings [HKG:0933] (Brightoil) have not been affected by the breach of an interest coverage ratio covenant on one of its loan facilities, and the firm has a "healthy" amount of cash available, according to a report by Bloomberg.
Ship & Bunker reported last week that Hong Kong listed Brightoil had given notice of the breach along with a profit warning for the six months ending December 31, 2012.
Hong Kong-based spokeswoman Ella Mak reiterated to Bloomberg by telephone today that they were applying for waivers with its banks to prevent a possible default on an unspecified number of loans.
Brightoil, who in 2012 saw seven of its executives exit the company, slipped from being the second to the third largest bunker supplier by volume in Singapore, as well as seeing a dip in its fuel oil imports into China, ended last year saying it was looking to expand its bunkering operations.
The company has two new Chinese storage projects in Zhoushan, Zhejiang province, and Dalian, Liaoning province, which will go online in 2014 and 2015, which will have a combined capacity of more than 10 million metric tonnes (mt).
