UAE headquartered Lamnalco Group, a harbour towage, marine and offshore services provider, has signed a $11 million term loan facility agreement for the financing of its fleet expansion.

The package will be used for the acquisition of the multipurpose Azimuth stern drive (ASD) tanker berthing tugs Houbara and Harrier with part of it going to finance Lamnalco's flagship vessel Kingfisher, a purpose-built commissary supply and training ship operating offshore Saudi Arabia.

"The oil, gas and marine industries are key to our regional business activities as they form an integral part of the Middle East economy," said Vince Cook, managing director, Barclays Capital, Gulf, who signed the agreement along with Lamnalco's managing director Andrew Wilkinson. This is the third financing deal in 10 years between Barclays Capital and the Lamnalco Group.

Since 1963, Lamnalco's core activity has been harbour towage, ports and terminals management, with activities throughout the Middle East and West Africa. Currently the group owns a fleet of over 70 vessels and handles more than 3,000 tanker movements per year.