Marco Polo Marine Subsidiary Secures Landmark 15-Year Taiwan Government Charter Contract

Key Highlights

• Marco Polo Marine Ltd., via its indirect subsidiary PKR Offshore Co., Ltd. (PKRO), has secured a major 15-year charter contract from Taiwan’s Marine Port Bureau (MPB).
• The contract is valued at NT\$2.948 billion (approximately S\$118 million), to be recognised evenly over the contract period, offering a stable and predictable revenue stream.
• This is PKRO’s first long-term government charter in Taiwan, marking a pivotal milestone in the Group’s regional expansion strategy and portfolio diversification.
• The contract involves providing emergency towage and salvage services for Taiwan’s maritime emergency response, specifically supporting offshore wind farm operations.
• Operations are expected to commence in 3Q FY2026 (April to June 2026).

In-Depth Contract Details

Under the “Offshore Wind Farm Emergency Towage and Salvage Services Procurement Project,” PKRO will deploy a dedicated emergency tug boat or salvage vessel to operate within Taiwan’s territorial waters and offshore wind farm zones. These operations are critical, as the vessel will be required to maintain high operational readiness in harsh weather conditions, responding promptly to incidents involving disabled, grounded, or drifting vessels.

PKRO leverages its extensive operational experience from supporting offshore wind farm projects in Taiwan, positioning it well to meet the specialised demands of this emergency service role. In addition to commercial objectives, the project aims to strengthen Taiwan’s maritime safety infrastructure, support offshore wind sector growth, prevent marine pollution, and mitigate risks of loss of life and economic damage from maritime incidents.

Strategic & Financial Significance

This contract is highly significant for Marco Polo Marine and its shareholders:

• Revenue Visibility: The NT\$2.948 billion value will be recognised evenly over 15 years, underpinning stable long-term earnings for the group, which is especially attractive to investors seeking predictability and reduced volatility.
• Portfolio Diversification: The deal expands Marco Polo Marine’s fleet portfolio beyond Crew Transfer Vessels (CTV) and Construction Support Offshore Vessels (CSOV) into emergency response and salvage—opening new verticals and strengthening resilience against sector-specific downturns.
• Regional Expansion: Securing this government contract solidifies the Group’s footprint in Taiwan, a market with “tremendous strategic potential,” and enhances its reputation as a diversified marine services provider across Asia-Pacific.
• Government Trust: The award reflects significant trust and confidence from Taiwanese authorities in PKRO’s and the Group’s operational capabilities, potentially paving the way for further government contracts in the region.

Management Commentary

“We are honoured to be awarded this landmark contract by Taiwan’s Marine Port Bureau. This award is a strong validation of PKRO’s operational expertise and the Group’s ability to deliver specialised marine services to government clients at the highest standards. More importantly, it marks our first long-term government charter contract in Taiwan—a market we see tremendous strategic potential in—and reflects the continued confidence that clients across the region place in our capabilities.”

“Beyond its commercial value, this contract plays a meaningful role in strengthening Taiwan’s maritime safety infrastructure and supporting the growth of its offshore wind sector. We look forward to contributing to these objectives while delivering stable, long-term returns to our shareholders,” said Sean Lee, Chief Executive Officer of Marco Polo Marine.

Company Profile & Growth Prospects

Marco Polo Marine Ltd. is a regional integrated marine logistics company listed on the SGX-ST since 2007, engaging primarily in shipping and shipyard operations. The Group charters offshore support vessels (OSVs) in regional waters—including Thailand, Malaysia, Indonesia, and Taiwan—and supports the burgeoning offshore wind energy sector, which is at a nascent stage of rapid expansion in Asia.

The Group’s shipyard in Batam, Indonesia, spans approximately 34 hectares, with four dry docks and a 650-metre seafront. This facility enables the Group to undertake mid-sized and sophisticated vessel projects, providing a strong technical foundation for ongoing expansion.

Potential Share Price Impact & Shareholder Considerations

• This contract represents a significant, recurring revenue stream that adds long-term earnings stability and predictability—potentially enhancing Marco Polo Marine’s valuation multiples.
• The diversification into emergency response and salvage services reduces earnings concentration risk and opens new growth opportunities.
• Successful execution and delivery on this high-profile government contract may further improve investor confidence, attract new clients, and unlock additional contracts in Taiwan and beyond.
• Shareholders should monitor contract execution milestones and operational performance from 3Q FY2026 onwards, as successful implementation could catalyse further positive share price movements.
• As the offshore wind sector continues to grow in Asia, Marco Polo Marine is well positioned to benefit from increased demand for specialised marine services.

Investor Relations Contact

Emily Choo
Email: [email protected]
Mobile: +65 9734 6565

Disclaimer: This article is for informational purposes only and does not constitute investment advice, solicitation, or recommendation. Investors should conduct their own due diligence and consult professional advisors before making any investment decisions. The information provided is based on publicly available sources and may be subject to change without prior notice.

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