26 Jul 2004

BP awards US$20 million follow-up job to Keppel yard in the Caspian

Keppel FELS Limited (Keppel FELS) today delivers the main hull sections of the BP Shah Deniz TPG 500 platform on schedule to BP Exploration (Shah Deniz) Ltd a year after securing this US$96 million contract.

Following the successful completion of this highly complex fast-track project, the joint entity, Keppel FELS and Keppel Offshore & Marine (Keppel O&M) subsidiary, Caspian Shipyard Company (CSC) has now received a US$20 million award by BP Exploration (Shah Deniz) Ltd to integrate these hull sections for the jackup platform in the Caspian.

Said Mr Choo Chiau Beng, Chairman & CEO of Keppel O&M, “Our near market, near customer strategy of having a network of shipyards in strategic locations has enabled Keppel Offshore & Marine, as a service provider of choice, to provide our customers with the shared expertise and total solutions of the Group.

“CSC and Keppel FELS are participating with Technip and BP in the execution of this fast-track project.”

A self-installing jackup drilling/production/quarters platform, the TPG 500 jackup will be the first world-class gas-condensate drilling/production platform in the Caspian Sea when it is completed in the third quarter of 2006.

For the work on the hull sections, Keppel FELS achieved four million man-hours with zero loss time incident and won a Silver award at the recent Annual Safety Performance Award organised by the Singapore Ministry of Manpower.

Mr Tong Chong Heong, Managing Director/Chief Operating Officer of Keppel Offshore & Marine (Keppel O&M) said, “The TPG 500 clearly reflects how Keppel can execute our contracts successfully amid challenges while maintaining a high standard of safety practices.

“To meet the contractual schedule, we had to start production while the detailed engineering work was still being carried out by BP’s designer, Technip. This called for the project teams to be very innovative, flexible and meticulous in the management of each phase of the project.

“I am glad that the strong teamwork and open communication between Keppel FELS, BP and Technip have facilitated the smooth execution of this project.”

Said Dr Rob Kelly, President of BP Shah Deniz, “I would like to congratulate everyone at Keppel FELS and the overall Shah Deniz Singapore Team for safely and successfully delivering the four main strips of the TPG 500 platform.

“It was always going to be a very tough challenge to meet our tight schedule for sailaway and I have been delighted with the drive, commitment and flexibility shown by everyone to meet our expectations.

“However, what has pleased me most of all is that this has been achieved safely, with over 4 million man-hours worked on the project without a Day Away From Work Case.

“Everyone can be rightly proud of what has been achieved and Keppel FELS have definitely lived up to their ‘Can Do’ motto.”

The four completed strips will leave on transporters for the Caspian Sea where Keppel O&M’s subsidiary, Caspian Shipyard Company (CSC), will integrate the strips in a floating drydock in Baku.

Keppel FELS is the world leader in the design and construction of jackup rigs, having built 60% of the world’s fleet on order in the last decade. It is a wholly-owned subsidiary of Singapore-listed Keppel Corporation Limited, through Keppel Offshore & Marine Limited, which has a network of 16 yards worldwide.

BP Shah Deniz TPG 500 – Technical Specification

For more information, please contact:

Sarah Seah
Deputy General Manager
Keppel Group Corporate Communications
Tel: (65) 64136 420
Email: sarah.seah@kepcorp.com

This press release is also available on www.keppelfels.com

Attachments:

Download - BP Shah Deniz TPG Press release

Download - Dr Rob Kelly's speech

Download - Choo Chiau Beng's speech

Download - Gerry McCarron's speech

The TPG 500 jackup will be the first world-class gas-condensate