Keppel O&M yards in U.S. and Azerbaijan book contracts worth $70 million

JUNE 28, 2012 — Transocean’s semisubmersible offshore drilling rig Sedco 77 is headed for the Keppel AmFELS shipyard in Brownsville, Texas. has secured a contract from Transocean Offshore Deepwater Drilling Inc. (Transocean) to repair and upgrade the semisubmersible (semi) rig Sedco 707.

Scheduled to arrive at Keppel AmFELS next month, Sedco 707 will have work done that includes steel renewal of the hull, repair of the thrusters, refurbishment of the living quarters as well as electrical and piping replacement work. The semi is expected to depart in the first quarter of next year and return to work in offshore Brazil.

Originally delivered from Avondale Shipyards in 1976, Sedco 707 is a self-propelled, twin-hulled semisubmersible drilling unit with eight thrusters designed to work in water depths of up to 6,500 feet.

The Sedco 707 contract is one of a $70 million clutch of orders for its yards in the U.S. and Azerbaijan just announced by Keppel Offshore & Marine (Keppel O&M).

Mr. Tan Geok Seng, President of Keppel AmFELS commented, “We thank Transocean for their trust and confidence in us and look forward to delivering another successful project to them safely and on time. Having built a long term relationship with Transocean, we are attuned to their needs and committed to support them in the renewal of their fleet.

“While we have a healthy base load of new builds, we have the capacity and expertise to undertake various repair projects which constitute an important part of our business. We are well positioned to support operators requiring efficient repairs in the region.”

Separately, Keppel O&M’s shipyard in Azerbaijan, Caspian Shipyard Company (CSC) has also secured a contract to build a floating dry dock for Baku Shipyard LLC (BSC).

Expected to be completed in the fourth quarter of next year, the 168 m x 50 m floating dock will be equipped with two sets of 25 tonne jib cranes and will have a maximum docking weight of 9,000 tonnes with a maximum docking draft of 6.5 metres.

CSC’s scope of work includes steelworks construction and the fabrication of the hull structure while BSC will provide overall project management. This arrangement will expedite the construction of the floating dock and demonstrates the synergy of Keppel O&M’s shipyards.

Baku Shipyard LLC (BSC) is a joint-venture shipyard between Keppel O&M, the State Oil Company of Azerbaijan Republic (SOCAR) and Azerbaijan Investment Company (AIC) which have 10 percent, 65 percent and 25 percent shares in the yard respectively.

To be completed in fourth quarter 2013, the new 52-ha shipyard is designed to undertake construction of a variety of vessels ranging from offshore support vessels to tankers, as well as ship repair and conversion.