- Perisai Petroleum notes due Oct. at 60 Singapore cents: DBS
- Comes after Swiber Holdings placed under judicial management
Bonds of a Malaysian offshore oil rig contractor have dropped to distressed levels, the latest sign that crude’s rebound this year hasn’t been enough to stave off pain in an industry beset by prices still about half their decade average.
Perisai Petroleum Teknologi Bhd, which contracts out drilling rigs and charters vessels for towing equipment, said on Thursday it will start discussions with holders of its Singapore dollar notes, without providing further details. Its S$125 million securities due Oct. 3 have dropped 17 cents this month to a record low 60 cents, according to prices from DBS Group Holdings Ltd.
Smaller Southeast Asian firms in the oil and gas industry are struggling along with global peers after a 49 percent collapse in oil prices in the past two years leaves them strapped for cash to pay off debt. In Singapore, Swiber Holdings Ltd. was placed under interim judicial management earlier this month and Kris Energy Ltd. said on Sunday it is exploring asset sales and refinancing as its debt covenants may come under stress.
Perisai had 36 million ringgit ($9 million) of cash and bank balances as of March 31, according to company results.
There was no immediate reply to questions e-mailed to Perisai.