Keppel O&M books contracts in Brazil and Singapore

Keppel O&M CEO Mr. Chris Ong

JULY 22, 2018 — Keppel Offshore & Marine Ltd (Keppel O&M) has through its wholly-owned subsidiaries secured two contracts with a combined value of about S$70 million (about US$51 million).

In Brazil, Keppel FELS Brasil Ltda (Keppel FELS Brasil) has been engaged by long-standing customer, MODEC Offshore Production Systems (Singapore) Pte Ltd., to undertake the topside module fabrication and integration of the FPSO Carioca MV30, a Floating Production Storage and Offloading vessel (FPSO). This is the sixth FPSO collaboration between Keppel FELS Brasil and MODEC.

In Singapore, Keppel Shipyard Ltd is to convert an LNG Carrier to a Floating Storage and Re-gasification Unit (FSRU) for a leading global operator of oil and gas production vessels.

“Keppel O&M has a strong track record in production, storage, gasification or liquefaction vessels, having successfully delivered more than 130 of such units over the years,” said Keppel O&M CEO Mr. Chris Ong. “FPSO Carioca MV30 is our 11th FPSO project for Brazil, and as the most-established shipyard in Brazil, BrasFELS is well-positioned to deliver it to Keppel O&M’s hallmark of executional excellence. Meanwhile, for Keppel Shipyard, this is our fourth FSRU conversion contract and is part of our comprehensive suite of solutions for the gas value chain.”

BrasFELS shipyard, Keppel FELS Brasil’s facility in Angra dos Reis, Rio de Janeiro, Brazil, will start the fabrication of the modules for the FPSO in fourth quarter 2018.

When completed, FPSO Carioca MV30 will have the capacity to process 180,000 barrels of crude oil per day (bopd) and 212 million cu.m of gas per day. The unit’s storage capacity is 1.4 million barrels of crude oil.

The FPSO will be deployed at the Sepia field, which is located in the pre-salt region in the Santos Basin, some 250 kilometres off the coast of Rio de Janeiro, Brazil.

Mr. Sateesh Dev, President & CEO of MODEC Pte Ltd., said, “Brazil continues to grow its production capacity to tap its significant oil and gas reserves. MODEC is committed to support the nation’s energy aspirations, and are glad to have a good partner in Keppel Group to support us in this journey. Indeed, BrasFELS has been our choice shipyard in Brazil because of their reliability, cost-efficiency and capability to meet our needs.”

FSRU CONVERSION

For the FSRU conversion project, apart from repair and life extension works, Keppel Shipyard will undertake shipyard engineering, installation and integration of the regasification module and upgrading of the cargo handling system. Scheduled for delivery at the end of 2018, the FSRU will be capable of re-gasifying up to 750 million metric standard cubic feet of natural gas per day.

Keppel Shipyard has previously delivered three FSRUs, including the world’s first FSRU conversion. With the increase in demand for LNG in power generation, FSRUs are a fast, flexible, cost-effective, safe and environmentally-friendly storage and regasification solution that is well suited for deployment in remote areas with smaller energy requirements. The world’s first converted FLNG vessel, Hilli Episeyo, has achieved final acceptance and commenced commercial operations for Perenco in Cameroon. This was accomplished within four years of the contract award to Keppel Shipyard.