Keppel FELS Allowed to Build US$110Mln Oilrig for PetroVietnam

3:26:28 PM | 7/8/2005

Vietnam Deputy Prime Minister Nguyen Tan Dzung has agreed in principle to the PetroVietnam's proposal to sign a jackup oilrig building contract with Singapore's Keppel FELS, according to the state-run Dau Tu (Investment) Newspaper.

Under the contract, Keppel FELS will build a jackup rig worth nearly US$110.1 million for PetroVietnam Drilling & Well Services (PV Drilling), which is a subsidiary of the Vietnam Oil and Gas Corporation (PetroVietnam).

The new jackup, a customized KFELS B class design, will be capable of operating in a water depth of 90 meters and drilling depth of 20,000 feet, with accommodation for 110 men.

The deputy PM also assigned PetroVietnam to make necessary amendments to investment amount and construction deadline of the oilrig.

Deputy Prime Minister Dung also confirmed that the contract would only be signed when the necessary amendments were made.

Keppel FELS - the wholly owned unit of Keppel Corp - has a 20-year relationship with PV Drilling. (Investment)