Jurong Shipyard to build second GVA 3000E for Prosafe

Safe-Boreas C PROSAFENOVEMBER 19, 2012 — Sembcorp Marine subsidiary Jurong Shipyard (JSPL), and Prosafe have finalized a contract that will see Jurong build a second new generation harsh-environment accommodation semi-submersible of similar design to the Safe Boreas currently under construction for Prosafe at Jurong Shipyard.

Left: Safe Boreas: Image (C) Prosafe

Like the Safe Boreas, the new unit will be constructed according to the GVA 3000E design and equipped with a DP3 (dynamic positioning) system as well as 12-point mooring arrangement. This will allow for operations in both DP and anchored mode, providing maximum cost efficiency and flexibility. The unit will have the capacity to accommodate 450 persons in single man cabins.

Prosafe says that cost including yard cost, owner-furnished equipment, project management and financing is estimated at around USD $350 million. Sembcorp Marine says the contract is worth US$295.2 million to Jurong.

According to Prosafe, 20 per cent of the yard cost is payable at signing of the contract, while the remaining 80 per cent will be paid at delivery.

Prosafe has received bank commitments for a five-year post delivery term loan facility of US $420 million to finance both Safe Boreas, and the new unit. The facility has an interest rate of 3-months LIBOR + 2.95 per cent and a repayment profile of 12 years. Closing is anticipated to take place in December.

Along with the latest contract, Jurong has granted two additional options to Prosafe for further newbuilds. Including an option previously granted last year, Prosafe will now have a total of three options for accommodation semi newbuilds at JSPL. The accommodation semis for the two additional options can be designed for either the Norwegian Continental Shelf or for world-wide operations outside of Norway.

Featuring the latest technology, the GVA 3000E design accommodation semi is capable of operating gangway-connected in deep water and in harsh environments alongside fixed platforms, floating platform and floating production and offloading vessels, with a full complement of deck cranes and fire-fighting capabilities.

The 450-person capacity Dynamic Positioning 3 (DP3) unit with 12 point mooring will be built in compliance with stringent Norwegian Offshore health and safety standards and is suitable for harsh environment operations in the Norwegian Continental Shelf.

Mr. William Gu, General Manager in charge of Jurong Shipyard's Offshore Division, said: "We are heartened that Prosafe has chosen us to construct a second harsh-environment accommodation semi-submersible rig following their award of a similar unit in December last year. This repeat order is an affirmation of the strong foundation of trust and synergy between Jurong Shipyard and Prosafe. We are grateful for their confidence in our offshore newbuilding capabilities and we will continue to work closely with the Prosafe team to grow our partnership from strength to strength."

Mr Karl Ronny Klungtvedt, Chief Executive Officer of Prosafe, said: "We are pleased to continue our partnership with Jurong Shipyard with this second harsh-environment accommodation semi-submersible unit as part of our offshore fleet expansion in the high-end accommodation market segment. I am confident that both the Prosafe and Jurong Shipyard project teams will leverage on the close cooperation and strong teamwork to achieve the timely construction of these accommodation semi-submersibles while meeting the stringent standards of quality, safety and reliability."

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