Seatrium AmFELS Shipyard Sold to Karpower Valley for $51 Million
Seatrium AmFELS, a subsidiary of Singapore’s Seatrium, has finalized the sale of its shipyard located in Brownsville, Texas, to Karpower Valley, a related entity of Türkiye’s Karpowership. This multimillion-dollar deal, valued at approximately S$65 million (around $51.23 million), aims to enhance operational efficiencies and unlock value from surplus facilities. The transaction was initially disclosed in September 2025, and all projects at the yard have been completed and delivered prior to the sale.
The divestment marks a strategic shift for Seatrium, which plans to focus on engineering innovation and technology capabilities in the U.S. market. The company will maintain a presence through its technology centers and offices in Houston, Texas, and a service center in Vicksburg, Mississippi. This transition is designed to support the evolving needs of its customers in the offshore and energy sectors.
Details of the Transaction and Future Plans
The sale agreement stipulates that Karpower Valley will pay S$65 million, with S$50 million (approximately $39.41 million) deferred for payment one year after the closing of the deal. The book value of the assets sold as of June 30, 2025, was approximately S$39 million ($30.71 million). The assets were sold on an “as is, where is” basis, reflecting a strategic decision by Seatrium to optimize its asset portfolio.
Chris Ong, Chief Executive Officer of Seatrium, expressed confidence in the partnership with Karpowership, stating, “We have a strong and longstanding relationship with Karpowership, and are pleased to entrust the yard to a partner with whom we will continue to deepen our collaboration.” Despite the divestment, Ong emphasized the importance of the U.S. market to Seatrium, indicating that the company will leverage its global footprint to deliver world-class solutions to customers.
Seatrium is actively engaged in the design and construction of various marine structures, including rigs, floaters, and offshore platforms. The company is also focused on sustainable solutions to support the global energy transition and maritime decarbonization. With operations spanning multiple countries, including Singapore, Brazil, China, and the United States, Seatrium is well-positioned to adapt to the changing landscape of the maritime industry.
Recent Developments and Industry Impact
The completion of the yard sale follows a recent naming ceremony for Karpowership’s floating storage regasification unit (FSRU), highlighting ongoing collaborations between the two companies. The sale is expected to strengthen Karpower Valley’s operational capabilities while allowing Seatrium to concentrate on its core competencies in engineering and technology.
DNV and Seatrium Team Up for a Greener Future in Marine and Offshore Sectors
As the maritime industry continues to evolve, Seatrium’s strategic decisions reflect a broader trend towards optimizing resources and enhancing operational efficiencies. The divestment of the AmFELS yard is a significant step in this direction, allowing Seatrium to focus on innovation and sustainable practices in the offshore energy sector. The partnership with Karpowership is anticipated to yield mutual benefits, reinforcing both companies’ positions in the competitive maritime landscape.
