Ezion +0.7%; new deal could signal more jobs - DMG

Ezion Holdings (5ME.SG) +0.7% at $0.725 as offshore support vessel supplier’s US$28 million ($36.2 million) chartering contract supportive, says Dow Jones. While boost to annual revenue small as contract runs for 6 years, deal suggests company’s expansion gaining traction in Australia, where it’s in midst of setting up 2 marine supply bases to support offshore oil & gas industry. Vessel will be chartered to Germany-based BBC Chartering & Logistic, which will use it for hauling cargo in Australia, Papua New Guinea from U.S. “We are positive on the partnership with BBC as it enables Ezion to tap on BBC’s specialised fleet of heavy lift and project cargo vessels and this could lead to more new long-haul cargo contracts from oil and gas majors operating in Australia and Papua New Guinea,” says DMG, which has Buy call with $0.89 target. Orderbook quotes suggest shares not expected to clear $0.75.