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Keppel wins third rig contract from Petrobras, offshore and marine book hits $11.8 bil

The Edge Singapore
The Edge Singapore9/28/2022 09:34 PM GMT+08  • 2 min read
Keppel wins third rig contract from Petrobras, offshore and marine book hits $11.8 bil
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Keppel Corp has yet another contract from its familiar customer Petrobras, with a US$2.8 billion job to build another rig, dubbed the P-83.

With this order, Keppel’s offshore and marine unit will see its order book increase to $11.8 billion.

The P-83, scheduled for delivery in 1HFY2027, is identical to an earlier rig being built for Petrobras, the P-80, thus giving Keppel some economies of scale.

Back in May 2021, Keppel had won a contract to build the P-78. All three rigs will be put to work in the Buzios field.

Chris Ong, CEO of Keppel Offshore and Marine calls the winning of this third contract a testament to the strong track record of the projects the company has delivered to Petrobras over the years.

“We are able to draw insights from the first of our newbuild FPSOs, the P-78, which is progressing well and contributing to Keppel O&M’s earnings,” says Ong.

See also: Keppel delivers first of three rigs originally built for Borr Drilling to ADNOC, collects payment of US$160 mil

“As the P-83 and P-80 are identical units, greater economies of scale and productivity gains can be expected as we are able to further optimise the engineering and construction process, as well as fully leverage technology and the seamless coordination with our partners in the execution,” says Ong.

“We look forward to delivering all our projects safely, on time and within budget to our valued customer Petrobras,” he adds.

Keppel shares closed Sept 28 at $6.71, down 3.01% for the day, amid the broader market drop. Year to date, Keppel shares have gained 30.75%.

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