Keppel bags $73m worth of contracts from MODEC

Keppel Shipyard to integrate topside modules and mooring support structure for an FPSO in Singapore.

Keppel Offshore & Marine (Keppel O&M), through its wholly owned subsidiaries in Singapore and Brazil, has secured two contracts worth a combined value of about $73m from MODEC Offshore Production Systems (Singapore) or MODEC, according to an announcement.

Keppel Shipyard has been engaged to fabricate, complete, and integrate the topside modules and mooring support structure for a Floating Production Storage and Offloading vessel (FPSO) in Singapore.

Components for the modules and mooring support structure are scheduled to arrive in Q3 for completion as well as integration and installation with the FPSO hull, which is expected in Q4, according to the press release.

The FPSO will be equipped to process 90,000 barrels of oil and 75 million standard cubic feet of gas per day and with a storage capacity of 700,000 barrels of oil. It is slated for delivery in Q2 2021.

Work on the FPSO is expected to commence in Q3 at the BrasFELS shipyard in Angra dos Reis, with delivery scheduled for Q4. It will be named FPSO Almirante Barroso MV32.

The contract marks the seventh FPSO-related project undertaken by BrasFELS for MODEC. When completed, the vessel will be capable of processing 150,000 barrels of oil and 212 million standard cubic feet of gas per day, with a minimum storage capacity of 1.4 million barrels of oil.

Keppel notes that the above contracts are not expected to have a material impact on the net tangible assets or earnings per share of Keppel Corporation Limited for the current financial year.