Keppel gets notice to proceed with US$947 million contract from Gimi MS

Singapore five-dollar note Photo by Leslie Shaffer

Keppel Shipyard has received final notice to proceed with full conversion works for the Gimi floating liquefaction vessel (FLNG) project from Golar LNG subsidiary Gimi MS, in a contract worth a total US$947 million, Keppel said on Wednesday.

The contract builds on the limited notice to proceed the company received in December, Keppel said in a filing to SGX before the market open on Wednesday.

Keppel Shipyard will convert a Moss liquefied natural gas (LNG) carrier into an FLNG vessel, with work to include the design, detailed engineering and construction services, Keppel said.

The vessel is expected to be delivered in the first half of 2022, it said.

The project will be similar to the Hilli Episeyo, the first FLNG vessel, which Keppel did for Golar, but this project will be customized for the 20-year BP Greater Tortue Ahmeyim contract offshore West Africa, Keppel said.

“The success of the Hilli Episeyo has provided the industry with strong proof of the attractiveness of Golar and Keppel’s conversion solution. This has further strengthened our offerings along the gas value chain,” Chris Ong, CEO of Keppel Offshore & Marine, said in the statement.

Once completed, the Gimi FLNG will be stationed on the Mauritania and Senegal maritime border, with production expected to begin in 2022, Keppel said.

Keppel Shipyard is a wholly owned subsidiary of Keppel Offshore & Marine.

 

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