Floating Accommodation Unit News

Two shipyards under Cosco Shipyard Group have pushed back the delivery dates for two converted high-end floating accommodation unit (FAU) at the customer’s request. Cosco (Nantong) Shipyard, a subsidiary of Cosco’s 51% owned subsidiary, Cosco Shipyard Group Co., said the delivery date of a FAU built at its yard will be extended for a period of not more than 12 months from its original delivery date of October 2015. The delayed FAU is the second of two units ordered by the shipowner for construction at Nantong facility, and the first unit has been delivered. The FAUs are converted from semi-completed hulls. In 2013, Cosco Nantong secured the contract to deliver the two FAUs, the first of which was delivered to the shipowner on February 2015.

Cosco Corporation (Singapore) Limited, offshore marine engineering, shipbuilding, ship repair & conversion and dry bulk shipping group, has posted a net profit of SGD4.25 million (USD3.19 million), down 82% year-on-year for the first quarter that ended 31 March 2015. The Singapore-listed Chinese shipbuilding and dry bulk shipping group's turnover decreased 4.6% to $991.2 million in Q1 2015 from $1.04 billion owing to falls in shipyard and dry bulk shipping revenues. The company's revenue from its shipyard operations segment decreased by 4.7% y/y to SGD980.8 million in 1Q15 from SGD1.03 billion in 1Q14, owing to lower revenue contribution from marine engineering and ship repair. This was partially offset by an increase in revenue from shipbuilding.

1. COSCO (Qidong) Offshore Co., Ltd Contract from a Singapore entity to build one (1) Floating Accommodation Unit (FAU) scheduled for delivery in 1Q2017. The buyer has also secured options for five (5) additional FAUs. 2. COSCO (Dalian) Shipyard Co., Ltd The contract under the first option cited in the announcement dated 12 September 2013 to build one (1) 21,000DWT Module Carrier for a European company has been rendered effective. The vessel is scheduled for delivery in 2Q2016. Save for their respective shareholdings in the Company, none of the directors or controlling shareholders of the Company has any interest, direct or indirect in the contracts.

STX Marine (STXM) announced that Gran Energia took delivery of the Compact Semi-Submersible (CSS) Olympia from MAC Offshore. STXM and partners in CSS Designs Ltd. developed the CSS design over the past five years, and said this delivery, will change the long term landscape of the Offshore Vessel market. Built by Fujian Mawei Shipbuilding in Fujian Province, China, the CSS Olympia has a length of 84.25m. with an overall capacity of 500 people. The primary function of the Olympia is to act as a floating accommodation unit for rig personnel.

STX Marine (STXM), which split off from the STX Corporation in 2011, say they partnered with CSS Designs Ltd. for 5 years to develop the ground breaking Compact Semi-Submersible (CSS) design of the 'Olympia' which they believe will change the long term landscape of the offshore vessel market. The primary function of the Olympia is to act as a floating accommodation unit for rig personnel. The vessel has a DP-3 rating and will remain connected to an offshore facility via a telescopic gangway system.

GE’s Power Conversion business has won a contract for the supply of dynamic positioning (DP) for a vessel Floating Accommodation Unit that Cosco (Nantong) Shipyard in Nantong City, China, is building for Logitel Offshore, the Singapore-based floating logistics and accommodation rig owner that has an exclusive license agreement to use the proprietary Sevan Marine design within the floating accommodation market. The complete project includes a C-Series Class 3 DP system and manual thruster control system. Sevan Marine specializes in units with cylindrical hulls, but until now it has used the design only for Floating Production, Storage and Offloading (FPSO) units and deep water Mobile Offshore Drilling Units (MODU).

COSCO Corp. (Singapore) Ltd. announce a newbuilding delivery by its Guangdong shipyard, and contracts for its Nantong and Dalian subsidiary shipyards also in China as follows: COSCO (Guangdong) Shipyard has delivered a 4500m2 Livestock Carrier, “Galloway Express” to its European buyer. The vessel is 134.80 meters in LOA 19.60 meters in breadth and 9.6 meters in depth. COSCO (Nantong) Shipyard has been contracted for a conversion valued at over USD 170 million of a semi-completed hull to high-end floating accommodation unit.The unit is scheduled for delivery in 24 months. COSCO (Dalian) Shipyard has secured a contract valued over USD180 million from an Asian company to build a Jackup drilling rig scheduled for delivery in the 3rd quarter of 2015.