Jurong Fast-tracks Delivery of West Sirius

The first of a series of three high-performance, identical design 6th generation semi-submersible rigs - West Sirius - built by SembCorp Marine’s subsidiary Jurong Shipyard for Norway’s Seadrill Limited was named today by Mrs C J Hadden, wife of Mr Steve Hadden, Senior Vice President of Devon Energy Corporation.

The naming of West Sirius marks a major milestone for Jurong Shipyard. This is the shipyard’s first turnkey rig-building project which encompasses engineering, procurement, construction, integration and commissioning (EPIC) elements.

The US$390 million turnkey rig-building contract was first awarded to Jurong Shipyard in June 2005, followed by the second unit at US$404 million in August 2005 and the third unit at US$535 million in May 2007. To be built based on the Friede & Goldman (F&G) ExD design, West Sirius is on track for delivery to owner in the first quarter 2008.

This sophisticated oil-rig was built using Jurong Shipyard’s proprietary award-winning "Load-out & Mating-in-dock" technique, in which the upper and lower hulls were simultaneously constructed and subsequently skidded and mated in the drydock.

The "Load-out & Mating-in-Dock" technique received the Singapore Innovation of the Year award in 2003 from Spring Singapore.

At the same time, the yard employed its newly developed "Transverse Skidding" technique to build and assemble the second rig, West Taurus in close succession. The combination of these two innovative techniques enabled the fast-track construction and sequential assembly of multiple semi-submersibles, while meeting high standards of quality, safety and precision. This pioneering rig-building technique accelerated the delivery time for the semi-submersibles by 4 months, enabling Jurong Shipyard to deliver 2 semi-submersible rigs in a year.

Jurong Shipyard was accorded the Innovation Excellence Award in 2007 by Spring Singapore, in recognition of the yard's innovation-driven culture and pro-active efforts to encourage creative thinking and problem-solving. The "Transverse Skidding" and "Loadout & Mating-in-Dock" techniques are important showcases of this culture.

At the naming ceremony, Mr Wong Weng Sun, Managing Director of Jurong Shipyard and President & Chief Operating Officer of SembCorp Marine, said: "The award-winning proprietary rig-building technique for constructing multiple semi-submersibles, deployed to fast-track the delivery of West Sirius represents an industry breakthrough and underscores a sharpening of our competitive edge and turnkey capability as a leading player in the global offshore and marine industry."

"Our success is only possible with the exceptional cooperation and collaboration received from our valued vendors, contractors and partners, Seadrill and Devon, and their faith in our ability to deliver," added Mr Wong.

West Sirius will be chartered to Devon Energy for operations in the Gulf of Mexico upon delivery in the first quarter of 2008. This highly sophisticated rig, which incorporates the latest in deep sea drilling technologies, will be capable of drilling wells of up to 37,500 feet while operating in dynamic positioning mode in water depths of up to 10,000 feet.

Engineered for stability and versatility, West Sirius is equipped with 18,000 square feet of usable deck space, with the ability to carry a variable deck load of up to 8,000 tonnes. This rig is designed with an operational displacement of 43,400 metric tons at 17 metres draft and 46,750 metric tons at 20 metres draft.

At the naming ceremony, Mr Kjell E Jacobsen, Chief Executive Officer and President of Seadrill Limited, said: "The supply-demand balance for oil and gas will remain high. This will result in high energy prices in the long term. The level of activity in the oil and gas industry will have to increase significantly both in the exploration and production in order to meet the ever-increasing demand for oil and gas. As a result more rigs will be needed."

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