Singapore Corporate News - 22 Nov 2007

$300m order for SembCorp Marine unit

SEMBAWANG Shipyard, a wholly owned subsidiary of SembCorp Marine (Semb-Marine), the world's second-largest builder of offshore rigs, is picking up fresh orders, including one to build the world's first versatile dynamic positioned accommodation and repair vessel for deep waters.

SembMarine, the marine engineering arm of SembCorp Industries, announced yesterday that Sembawang Shipyard had secured a $300 million contract from Singapore-based oil service company, Equinox Offshore Accommodation, to convert passenger/ car ferries to accommodation and repair vessels between 2008 and 2010.

Sembawang Shipyard is said to have won the 'milestone' contract for one confirmed job plus five options based on its capabilities in passenger-ship upgrading and established track record in the highly specialised and technically challenging field of dynamic positioned offshore vessel conversion work.

Under the contract, Sembawang Shipyard will rebuild and refurbish existing cabins and add another 50 cabins to house a complement of 400 to 500 persons. It also includes the building of offices, public areas such as a restaurant and cinema, and converting existing car decks to workshops to be equipped with owner-supplied equipment and machinery, new generators, fresh water generator system and modification of the piping system.

Other major installation works involving stern thrusters with dynamic positioning capabilities and new 60-tonne and 80-tonne cranes and an offshore gangway will be carried out to enhance the vessel's performance and manoeuvrability in offshore locations.

The first vessel is expected to arrive in the shipyard in mid-January 2008 and redelivered to its owners in the fourth quarter of 2008.