Singapore-based offshore marine company Otto Marine Limited has secured a shipbuilding contract for a 6,500dwt product tanker from an Indonesian stated-owned shipowner.

The deal, which is worth US$14m, was secured through the company's wholly-owned subsidiary PT Batamec.

Scheduled for delivery in the second quarter of 2018, the tanker is expected to operate in the Indonesian waters.

Otto Marine said that the deal is expected "to have positive contribution to the consolidated earnings per share or consolidated net tangible assets per share of the company and the group for the financial years ending 31 December 2017 and 31 December 2018, respectively."