25/10/2017 - 14:30

Vessel operator falls into administration

25/10/2017 - 14:30

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The administrators of troubled oil and gas services provider Go Marine Group say they are confident they can recapitalise the business.

Vessel operator falls into administration
Go Marine is expected to come out of administration and continue operating.

The administrators of troubled oil and gas services provider Go Marine Group say they are confident they can recapitalise the business.

South Perth-based Go Marine appointed Richard Tucker, John Bumbak and Scott Langdon of KordaMentha as voluntary administrators on Friday night, after the business struggled to stay profitable amid an ongoing slump in the sector.

However, Mr Tucker told Business News KordaMentha was in promising talks with investors and a recapitalisation plan to keep the business running, and its 35 local workers employed, was in the works.

“We have a very high profile and important customer base that we will continue to service ... and they are supportive of the ‘business as usual’ approach, so our goal here is to a recapitalisation or restructure through the voluntary administration process,” he said.

“Clearly there’s been stress across the sector as a whole, but there are signs that it has bottomed out and the positive is that Go Marine is likely to come out on the other side and be an early mover at least in the local sector after having been restructured.

“We are starting to see greenshoots in the sector generally; there are potential new jobs and tenders out there coming through which is very positive.”

A creditors’ meeting is scheduled to be held in Perth next week.

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