Floating production market sees new opportunities

But low oil prices make project financing hard to come by, which presents a challenge to Singapore yard groups

Published Sun, Mar 27, 2016 · 09:50 PM

Singapore

THE floating production market is undergoing a sea change in more ways than one that presents new opportunities to yards in Singapore that are hungry enough to test new limits to make up for order backlog shortfalls as rig-building orders dry up.

Large cap offshore marine players Keppel Fels and Sembcorp Marine have been invited to contest for the turnkey delivery of newbuild floating production projects against their larger rivals in South Korea. This may well be an opening for yard groups in Singapore - which have yet to assume the driver seat for large newbuild floating units - to move up the value chain.