Keppel Gets $105.7m in Contracts for Conversion, Shipbuilding

Keppel Offshore and Marine, a unit of Keppel Corp, has secured conversion and shipbuilding contracts worth $105.7m. The contracts involve converting two Floating Production Storage and Offloading (FPSO) units. One contract is from SBM Holdings, one of the world's largest owners and operators of FPSO and FSO facilities, and the other is from Emas Offshore Construction and Production. The unit for SBM is expected to be completed in the third quarter of 2008. When completed, it can produce up to 100,000 barrels of oil per day and store about 1.6 million barrels of oil. The unit for Emas Offshore Construction and Production is due to be ready by mid-2008. Meanwhile, Keppel Nantong Shipyard has received an order to build three 65-ton bollard pull tugboats. They are expected to be delivered between the third quarter of 2009 and the first quarter of 2010. Keppel Corp said the contracts are not expected to have material impact on its net tangible assets and earnings per share for the financial year 2007. Source: CNA