Keppel secures integration and upgrading contracts worth around S$160 million
Thursday 18 April 2019
Halliburton Awarded Shell Offshore Exploration ContractKeppel
Offshore & Marine Ltd (Keppel O&M) has through its wholly-owned
subsidiaries, Keppel Shipyard Ltd (Keppel Shipyard) and Keppel FELS
Limited (Keppel FELS), secured integration and upgrading contracts worth
a combined value of about S$160 million.
Mr Chris Ong, CEO,
Keppel O&M, said, "These contracts from repeat customers are
testament to Keppel O&M's strong customer service in delivering on
time, within budget and safely as well as our extensive track record in
modification and upgrading projects for a wide variety of products such
as FPSOs and drilling rigs.
"With strong engineering expertise
and project management capabilities, we work closely with our clients to
understand their requirements and provide customised, reliable,
cost-efficient and value-added solutions."
The first contract is
between Keppel Shipyard and a leading operator of oil and gas production
vessels for fabrication and integration work on a Floating Production
Storage and Offloading (FPSO) vessel. The shipyard's work scope includes
the fabrication of several topside modules, the riser balcony, the
spread-mooring and the umbilical support structures as well as
installation and integration of associated equipment and all topside
modules onto the FPSO.
Work is expected to commence in 3Q 2019, and delivery is scheduled for 2021.
The
second contract is between Keppel FELS and Diamond Offshore for the
upgrade of the drilling semisubmersible rig Ocean Onyx. Keppel FELS'
scope of work includes the engineering, fabrication and installation of
new pontoons, columns, bracings and a wing deck. The Ocean Onyx was
first upgraded in 2012 by Keppel AmFELS, Keppel O&M's yard in the
US, from an old semisubmersible rig.
Scheduled for delivery in 2H
2019, Ocean Onyx will initially be deployed offshore Australia. Diamond
Offshore is Keppel FELS' long-standing customer; the two companies have
collaborated on more than 12 projects since 2005.
Mr Karl
Sellers, Senior Vice President - Technical Services of Diamond Offshore
said, "Keppel FELS has proven to be a reliable partner for our rig
repairs and upgrades over the years and we are pleased to work with them
again on the upgrade of Ocean Onyx."
The above contracts are not
expected to have a material impact on the net tangible assets or
earnings per share of Keppel Corporation Limited for the current
financial year.