Keppel Offshore & Marine (Keppel O&M) has been awarded contracts worth $250 million from repeat customers.
The contracts were received by Keppel O&M’s subsidiary, Keppel Shipyard for the integration of two floating production storage and offloading (FPSO) vessels.
The first contract was signed with BW Offshore, a fully-owned subsidiary of the BW group, where the former will work on a newbuild FPSO.
The contract follows the Letter of Award that Keppel Shipyard received from BW Offshore on Nov 25, 2021.
The hull of the FPSO is expected to arrive in Singapore in mid-2023. The delivery is scheduled to take place on 2HFY2024.
The second contract was signed with Single Buoy Moorings (SBM), as well as a joint venture company between SBM and McDermott to undertake the fabrication, installation, and integration of topside modules for an FPSO project.
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The yard will also support SBM with pre-commissioning and commissioning work, which is expected to begin in the 2HFY2022. The hull of the FPSO is expected to arrive in the hard in the 1HFY2023, delivery is scheduled to take place within the 2HFY2024.
Chor How Jat, managing director (conversions & repairs) at Keppel O&M, says, “Despite a volatile market, we are pleased to be awarded contracts from our longstanding customers as it is a testament to the partnerships that we have built up over decades of collaboration. We are seeing signs of fundamental improvement in the market, and are well-positioned to team up with customers to provide innovative, reliable, quality, and value-added solutions.”
Shares in Keppel Corp closed 11 cents lower or 1.59% down at $6.79 on May 6.
