MISC Berhard has signed a contract with Chevron for the lease and operation of a floating, storage and offloading – an FSO vessel – offshore Thailand.
The FSO Benchamas 2 Project will be utilised by Chevron in the Gulf of Thailand, MISC informed in a statement.
“This is a milestone achievement for MISC in winning the contract and it is significant to us, being our first collaboration with Chevron in the offshore segment”, MISC’s President and CEO, Yee Yang Chien, said.
Chevron Hires FSO Vessel Offshore Thailand
The deal was signed between MISC’s wholly-owned subsidiary MISC Offshore Floating Terminals Limited (MOFT) and Chevron Offshore (Thailand) Ltd. (COTL).
The contract, valued at approximately US$230 million (£174.48 million) and with a duration of 10 years, was secured through an international competitive bidding process.
As well as this, it marks MISC’s premiere in Thailand’s offshore oil and gas market.
Contract Signing Ceremony for FSO Benchamas 2 Between MISC and Chevron
Under the agreement, MOFT will provide engineering, procurement, construction, installation, commissioning, lease and operations of the FSO Benchamas 2 Project.
According to MISC, the vessel is expected to start operations by the second quarter of 2018.
Offshore Vessel Premiere for MISC
COTL will have the right to extend the contract up to 5 times, in periods of one year each.
“We truly appreciate the support and cooperation of the Thai government over the past 53 years,” Chien added.
“This significant investment on the FSO replacement is a testament to Chevron’s commitment to supply long-term, safe and reliable energy for the Kingdom of Thailand,” the President of Chevron Offshore Thailand, Pairoj Kaweeyanum, said.
“I would like to congratulate Chevron and its partners on another impressive milestone in their mission to enhance Thailand’s long term energy security. I am pleased that the advanced technology and safety upgrades of the vessel will help ensure continuity of petroleum production for the Thai people,” the Permanent Secretary of Thailand’s Ministry of Enertgy, Areepong Bhoocha-oom, said.