TH Heavy Engineering Bags $372M Deal for Layang Project Off Sarawak
Malaysia's offshore oil and gas facilities fabricator TH Heavy Engineering Berhad revealed Friday that it has received a Letter of Award from JX Nippon Oil & Gas Exploration (Malaysia) Limited May 9 to provide engineering, procurement, construction, installation and commissioning (EPCIC) and leasing of the floating production storage and offloading (FPSO) Deep Producer 1 for the Layang Development Project, located in Block SK10, offshore Sarawak, Malaysia, the firm announced on local stock exchange Bursa Malaysia.
Under the award, the contractor will carry out engineering, procurement, construction/fabrication/conversion, installation and hook-up and commissioning of the FPSO facilities. TH Heavy Engineering will then lease the FPSO facilities until Nov. 17, 2023, with JX Nippon given an option to extend the lease for one year up to a maximum period of 10 years from Nov. 18, 2023.
The award has an estimated contractual value of $372 million (MYR 1.2 billion) for the primary period and an additional potential of up to $457 million (MYR1.47 billion) if JX Nippon extends all options under the contract.
Floatech (L) Ltd, an 80 percent subsidiary of TH Heavy Engineering, owns FPSO Deep Producer 1.
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Pertamina Invites Socar, JX Nippon To Partner On Balikpapan Upgrade (Aug 01)
- ExxonMobil Reports Papua New Guinea Discovery (Jan 16)
- Japan's JX To Sell North Sea Oil Field Stake To Faroe Petroleum (Jul 28)
Company: TH Heavy Engineering Berhad more info
- TH Heavy Engineering, McDermott End Partnership in Malaysia (Sep 26)
- Malaysia's THHE Receives More Winding-Up Calls (Aug 01)
- Malaysia's THHE Not Given More Time from JX Nippon to Complete Layang FPSO (Jun 01)