Bumi Armada and SBM Offshore to spend $170 million on FPSO upgrading

With the FPSO sector growing at a phenomenal rate, Bumi Armada and SBM Offshore are shelling out close to $170 million upgrade its current FPSOs .  Keppel Shipyard has secured the Floating Production Storage and Offloading (FPSO) upgrading projects SBM Offshore and Bumi Armada.

The first project is from SBM Offshore to refurbish and upgrade an existing FPSO vessel, FPSO Xikomba. Work on this FPSO unit is expected to be completed by the third quarter of  2013.

Xikomba will be leased by Eni Angola S.p.A for 12 years for the development of Block 15/06, offshore Angola, FPSO Xikomba is jointly owned by SBM Offshore and Sonangol, Angola's national oil and gas company.

"Long-term business partnerships are key to our performance, our ability to deliver and our ambition in furthering our lead in the FPSO market. The award of the FPSO Xikomba is another milestone in this deep long-term relationship," said Bruno Chabas, Chief Executive Officer of SBM Offshore, said,

Keppel Shipyard's scope of work on FPSO Xikomba comprises life extension, refurbishment and upgrading of existing topside modules and turret mooring system as well as the installation and integration of new topside modules. The FPSO vessel will subsequently proceed to Angola for completion.

For Bumi Armada, Keppel Shipyard will modify and upgrade FPSO Armada Claire. This includes refurbishment and life extension works as well as installation and integration of topside modules. Work is expected to be completed by the fourth quarter of 2013.

Upon completion, FPSO Armada Claire will be deployed in the Balnaves Field, north-west Australia.

"With the trust and collaboration of committed and capable business partners, we have grown and enhanced our fleet of quality FPSO vessels. The Armada Claire project is our tenth major collaboration with Keppel Shipyard, and we are confident that it will be professionally executed," said Hassan Basma, Executive Director and Chief Executive Officer of Bumi Armada.