STX OSV

STX OSV: Co has secured construction contracts for 2 PSVs worth NOK750m (approx $170m) from Island Offshore. The vessels are of 4800 dwt and will be delivered in 1Q and 3Q2013 in Norway. DMG maintains Buy TP$1.89 and believes pace of order win will accelerate. Co is expected to secure further high-end orders and house notes valuation is undemanding at 7x FY11 P/E.