Singapore: Sembcorp Marine's Jurong Shipyard Bags USD 291.6 Million Contract

Sembcorp Marine’s subsidiary Jurong Shipyard has secured a US$291.6 million contract to build an accommodation semi-submersible rig with options for another two units from Prosafe, the world’s leading owner and operator of accommodation and service rigs.

Scheduled for delivery in the second quarter of 2014, the accommodation semi-submersible rig will be built based on the GVA 3000E design. Featuring the latest technology, the GVA 3000E design accomodation semi-submersible rig is capable of operating gangway connected in deep water and in harsh environments alongside fixed platforms, floating platforms and Floating Production and Offloading vessels, with a full complement of deck cranes and fire-fighting capabilities.

The 450-person capacity Dynamic Positioning 3 (DP) unit 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.

Sembcorp Marine's Jurong Shipyard Bags USD 291.6 Million Contract

Floating semi-submersible accommodation rigs are needed to provide additional living quarters for offshore personnel. Such support is required during hook-up and commissioning in the development phase, maintenance and upgrading during the production phase, as well as for the decommissioning phase.

Mr. Don Lee, Senior General Manager, Jurong Shipyard’s Offshore Division said “We are very honored that Prosafe has chosen to partner Jurong Shipyard in their fleet expansion strategy as the world’s leading owner and operator of semi-submersible accommodation and service rigs. This is a testimony of Jurong Shipyard’s capability to kick-start another product line in the growing accommodation semi-submersible rig market. We will continue to draw upon our experience from our past track records of having delivered harsh environment units that are operating in compliance with the stringent health, safety, quality and environment standards in the North Sea. We thank Prosafe again for this contract and will work to ensure that our relationship with Prosafe as a new client will continue to grow.”

Mr. Karl Ronny Klungtvedt, Chief Executive Officer of Prosafe said “We have ordered this unit as we continue to see strong demand in the high-end segment of the accommodation rigs market. Jurong Shipyard was chosen as our preferred partner based on their strong track record in offshore building and the delivery of high quality offshore solutions. We look forward in confidence to the timely delivery of this new generation of advanced semi-submersible accommodation rig.”

The contract is not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of Sembcorp Marine for the year ending December 31, 2011.

Jurong Shipyard, a fully-owned subsidiary of Sembcorp Marine, is a leading shipyard offering integrated services and customized solutions in ship repair, shipbuilding, ship conversion, rig building and offshore engineering to a world-wide clientele. Apart from its proven track record in the building and servicing of jack-up and semi-submersible rigs, Jurong Shipyard is also a global leader in the EPC conversion of tankers to floating production storage and offloading units (FPSOs), floating storage tankers (FSOs) and floating production units (FPUs).

Shipbuilding Tribune Staff, December 19, 2011; Image: Prosafe

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Posted on December 19, 2011

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