Seatrium sells AmFELS yard in Texas for $65m

The sale will allow the company to fuel capital and operational efficiencies.

Seatrium Limited has divested its AmFELS Yard located at Brownsville, Texas, in the US for $65m.

“The accretive divestment will allow Seatrium to enhance capital and operational efficiencies, whilst unlocking value from one of its surplus facilities,” the company said in a statement.

The asset sale is being executed through Seatrium’s subsidiary, Seatrium AmFELS, Inc., which has entered into a binding agreement with Karpower Valley LLC, a related party of Karpowership.

The transaction will be paid for in cash, of which $50m is deferred and to be paid one year after closing. The book value of the divested assets as at 30 June 2025, sold on an “as is, where is” basis, is approximately $39m.

Following the asset divestment, Seatrium will transition its strategic presence in the US to focus on engineering innovation and technology capabilities, through its technology centres and offices located in Houston, Texas, and service centre in Vicksburg, Mississippi.

The group also assures it will complete all ongoing projects at AmFELS Yard by the end of 2025.

The completion of the divestment is subject to customary closing conditions, including the transfer of the lease to the new owner by the Port of Brownsville.

“Notwithstanding the divestment, the US market remains important to us. We will continue to leverage our global footprint and integrated One Seatrium Delivery Model to deliver world-class solutions to our US based and global customers in the offshore and energy sectors,” said Seatrium CEO Chris Ong.