Bourbon to Sell $1.5bn of Vessels to China's ICBC

ICBC Financial is the leasing arm of the state-run Industrial and Commercial Bank of China.

French oil and gas marine services group Bourbon announced Tuesday it plans sale-and-lease contracts for $2.5 billion worth of vessels as part of its "transforming for beyond" project.

The first phase of the project is worth up to $1.5 billion and will see the sale of up to 51 vessels to China's ICBC Financial Leasing, which it will then retain on bareboat charter for a period of 10 years.

Twenty-four of the vessels are in currently in operation, while the other 27 are under construction and will be delivered within 14 months.

"This operation, related to an innovative and highly productive fleet that has already proved itself to its customers, reflects the overall trust in Bourbon throughout the industry as a vessel operator," said Mr. Christian Lefevre, CEO of Bourbon.

"This operation won't affect our fleet standardisation strategy as the vessels in the bareboat lease come from our vessel series; they have been designed and built to our standards and Bourbon retains full operational responsibility for its vessels. This initial phase of 'Transforming for Beyond' allows us to prepare for our growth plan beyond 2015 with stronger financial backing."

Mr. Lin Cong, the President of ICBC Financial Leasing, commented, "As a wholly owned subsidiary of the world's largest commercial bank, ICBC Leasing is delighted to work together with Bourbon to carry the deal a step forward."

"Through this project, we would like to establish a long and stable relation of cooperation with Bourbon, further expand our leasing business in offshore market, and set up business relations with more domestic and overseas corporations in the future."

ICBC Financial is the leasing arm of the state-run Industrial and Commercial Bank of China.