Keppel FELS Successfully Delivers P-52 Lower Hull to Brazil

Keppel FELS Limited is pleased to announce the arrival of the lower hull of the semisubmersible floating production platform (FPU), P-52, in Brazil on March 29, 2006 after being at sea for 35 days.

The construction of the P-52 FPU was first clinched by 75:25 consortium of Keppel and Technip in December 2003. Innovative solutions and fulfilment of the requirements for local contents put forth by the Brazilian government were key to securing the US$775 million contract.

Keppel FELS was responsible for the lower hull while sister company Keppel FELS Brasil SA the deckbox, the complete topsides and the living quarters, and Technip the process engineering and marine mating.

The arrival of the P-52 lower hull at Keppel FELS Brasil's BrasFELS yard in Angra dos Reis, Rio de Janeiro, marks a major milestone towards the completion of P-52.

It also coincides with the successful dredging of the Jacuecanga Channel in front of BrasFELS shipyard to allow access and movement of the P-52.

Dredging began in early Janurary 2006 to increase the depth of the access channel to the wharf of BrasFELS yard by 2.25 meters deep, one km long and 200 meters wide. Work on the Jacuecanga Channel started only after BrasFELS had received an environmental license from the Rio's State Foundation of Engineering and Environment (FEEMA) following a thorough evaluation of the environmental impacts.

It took the yard two years of studies, evaluations and community activities to educate local stakeholders of the nature and implication of the work.

Five environmental programs were developed to minimize possible impacts on fishing and tourism activities in the area. A dredge solemnity-carrier was selected to carry out the dredging by suction to ensure minimal impact. The dumping ground is 35 miles off the coast and was chosen to ensure that the temporary dispersions of the materials during dumping do not alter the transparency of the water at the beaches and tourist spots.

The dredging work and its completion is highly significant to Angra dos Reis. It has secured continual livelihood for 5,000 residents from the town, who depend on the consistent stream of work in BrasFELS shipyard.

For Keppel FELS Brasil, it enables BrasFELS yard to carry out future mega projects requiring deep draft, besides the immediate movement of the P-52 and its twin project the P-51 to and from the yard.

When completed, the P-52 FPU will stand 34-storey high and 10 Olympic swimming pools wide. The platform will be anchored in a depth of 1,795 meters in the Campos Basin, and will have the capacity to produce 180,000 barrels of petroleum per day with medium API at 28 and of compressing 9.3 million m3/day of gas.

Keppel FELS is a world leader in the design, construction, repair and conversion of offshore rigs and structures. Keppel FELS Brasil has the largest shipyard in Latin America. It has played the significant role in the rejuvenation of the Brazilian marine and offshore oil and gas industry. Both companies are wholly-owned subsidiaries of Singapore-listed Keppel Corporation Limited, through Keppel Offshore & Marine Limited. The group has a network of 17 yards around the world to be close to its market and customers. Integrating the experience and expertise of its yards worldwide, the group aims to be a provider of choice and a partner in solutions for the offshore and marine industry.