SembMarine completes first floating production unit newbuild for Shell Offshore

The Vito Regional Production Facility (Vito RPF), Sembcorp Marine's first floating production unit newbuild, ready for sailaway to the U.S. Gulf of Mexico. Credit: Shell/Sembcorp MarineThe Vito Regional Production Facility (Vito RPF), Sembcorp Marine's first floating production unit newbuild, ready for sailaway to the U.S. Gulf of Mexico. Credit: Shell/Sembcorp Marine; January 2022

Sembcorp Marine (SembMarine) has completed the Vito Regional Production Facility (RPF) for Shell Offshore, its first floating production unit (FPU) newbuild delivery, the company said in a filing to SGX Thursday.

The Vito FPU was delivered to Shell on 27 December, with the platform departing Tuas Boulevard Yard for Singapore’s anchorage to prepare for load-out and its sailaway to the Gulf Of Mexico in the U.S., SembMarine said.

“The successful construction and delivery of Vito FPU is a key milestone in our newbuilding track record and a testament to Sembcorp Marine’s proven expertise and differentiated capabilities in the construction of turnkey projects for the offshore, marine and energy industries,” Wong Weng Sun, SembMarine’s president and CEO, said in the statement.

“We would like to thank Shell for their strong teamwork and steadfast support in overcoming the challenges and constraints brought on by Covid-19,” Wong said.

In November, the company warned it faced “significant losses” in the second half of 2021, due in part to delays in project completions as Covid-related measures seriously impacted the group’s performance.

Those impacts have included delays in equipment delivery due to border controls in some countries, longer lead times for purchasing new components due to supply chain constraints, slower-than-expected worker recruitment, worker attrition and Covid-related stop-work orders and disruptions, SembMarine said at the time.

On Thursday, SembMarine said it was building a second FPU project for Shell, involving the fabrication of FPU topsides, living quarters and hull, for the Whale development located in the U.S. Gulf of Mexico.