Yinson Holdings Bhd FPSO John Agyekum Kufuor
KUALA LUMPUR: Yinson Holdings Bhd
has clinched a bareboat charter contract worth up to US$1bil (RM4.35bil) from Madrid-listed Repsol SA’s unit Talisman Vietnam 07/03 BV (TLV).
In a statement, the integrated offshore services provider said its indirect unit Yinson Clover Ltd received the contract for the supply, operation and maintenance of a floating production storage and offloading (FPSO) facility for Ca Rong Do field development at block 07/03 offshore Vietnam.
TLV is the operator of Ca Rong Do field.
Yinson said the contract, comprising the bareboat scope of work (bareboat SOW) and operation and maintenance of the FPSO. was for a firm period of 10 years with five yearly extension options exercisable by TLV.
The contract’s estimated total aggregate value of US$1bil is for the entire 15-year charter inclusive of all five yearly extension options.
According to SubseaIntel.com, three companies were believed to be competing for the leased FPSO for the Ca Rong Do project — Yinson Holdings, Bumi Armada and UK-listed Petrofac.
Yinson said that as required under the bid for the contract, Yinson Clover entered into a novation agreement with TLV and PetroVietnam Technical Services Corp for the novation of all rights and liabilities under the contract to PetroVietnam.
Both PetroVietnam and Yinson Clover will subsequently form a 51:49 joint-venture company which will enter into a bareboat charter contract with PetroVietnam for the bareboat SOW under the contract.
“This event marks a new milestone for us by adding another strong contract to the group’s order book. Based on Yinson’s current track record, we will ensure a successful execution of the bareboat scope of work under the contract and expect a positive contribution to the group’s bottom-line starting from the financial year ended Jan 31, 2020,” said Yinson group executive chairman Lim Han Weng.
The signing ceremony was held in conjunction with the signing of three other contracts between Repsol Group, the parent company of TLV and other parties which are involved in the Ca Rong Do field project.
Yinson is the world’s 6th largest FPSO company, having a wide geographical presence in West Africa, Europe and South-East Asia.
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