Offshore vessel owner Nordic American Offshore (NAO) has seen an improvement in the platform supply vessel (PSV) market as it posted a smaller loss for the second quarter 2017.
The company has ten PSVs built in Norway in the period 2012-2016. Seven of its ten vessels are in operation.
NAO said in its second quarter 2017 report on Thursday that, going into the third quarter, an improvement in the PSV market has taken place. In a volatile market, the longer it lasts, the better, the company said.
At the end of the quarter, the company’s net debt per vessel was $9.5 million and the company has a non-amortizing credit facility of $150 million in place until early 2020.
“We concentrate on keeping our vessel operating costs low, while always maintaining our strong commitment to safe operations. As we expand our fleet, we do not anticipate that our administrative costs will rise correspondingly.
“Going forward, the first objective of NAO is to reach cash break-even level,” the company said.
In the report on Thursday, NAO posted lower revenues of $3.6 million for the second quarter 2017 period, compared to $5.07 million in the same period of 2016.
During the period, the vessel owner narrowed its net loss to $6.7 million from a $7.4 million in the prior-year second quarter.
Offshore Energy Today Staff