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ne of the country'€™s major shipping firms PT Logindo Samudramakmur (Logindo) has allocated US$150 million to buy new offshore vessels, mostly to be used for offshore oil platforms, during the 2013'€“2014 fiscal year in a bid to capitalize on the growth of offshore marine services.

The company plans to operate around six to eight new Anchor Handling Tug Supply (AHTS) vessels until the end of 2014.

'€œAs of today, we have received two new AHTS vessels with Class 2 Dynamic Positioning systems from China and we will be receiving the third one very soon this quarter,'€ Rudy Kusworo, one of the firm'€™s board members, said on Thursday.

'€œBy having more AHTS vessels, we will be able to transport supplies to and from offshore drilling rigs more efficiently.'€

He said that around 70 percent of the investment was from loans it had obtained from some banks in Singapore, while the remaining 30 percent was taken from the firm'€™s equity.

AHTS vessels are offshore support ships with a high transit speed of 12,000 brake horse power (bhp) and each of them are priced between $18 million to $22 million.

They are mainly built for anchor handling and towing offshore platforms, barges and production modules or vessels, and in a few cases, they serve as Emergency Rescue and Recovery Vessels (ERRV) too.

However, due to their high cost and maintenance, the number of Indonesian-registered AHTS vessels operating across Indonesian waters is still low.

Indonesian National Shipowners Association (INSA) recent data shows that there are 87 domestically owned AHTS vessels in the country as of August 2013.

'€œThis is why we are committed to serving the marine offshore industry, the demand for this sector keeps increasing every single year, in line with the growth of our economy. Yet, not many domestic players are willing to tap into the opportunities. Thus, we plan to continue supporting the nation'€™s oil, mining and gas sector with our marine services in the future,'€ he went on.

Logindo'€™s clients include Total E&P Indonesie, PT Pertamina Hulu Energi, Conoco Phillips, Chevron, CNOOC SES Ltd. and Santos with contracts of around 3 years on average.

In addition, Logindo director Eddy Kurniawan Logam said that the firm secured a $60 million offshore marine service contract in January'€“September 2013, up by around 30 percent compared to the same period last year.

'€œWe are now in the process of extending some contracts that will end in 2014 with some of our long-time customers as well as seeking new contracts with new partners. We are optimistic about securing more contracts in the future,'€ Eddy said.

Moreover, in a bid to be more accountable and transparent, Logindo aims to go public in the near future.

However, he refused to elaborate on the amount of shares they will float in the Indonesia Stock Exchange (IDX), saying that it is now preparing every detail of its initial public offering (IPO) plan.

The firm currently operates a wide range of specialized offshore support vessels such as AHTS, Landing Craft Transports, Platform Supply Vessels, Azimuth Stern Drive Tugs, Diving Support Vessels, Fast Crew Supply Vessels, patrol boats, tug boats, accommodation barges and many others.

Most of the vessels operate in East Kalimantan.