Keppel Shipyard signs conditional contract with Golar

KEPPEL Shipyard has signed a conditional contract with Golar Hilli Corporation, a unit of Golar LNG, to perform the world's first conversion of a Moss LNG carrier into a floating liquefaction vessel or FLNG.

Delivery is expected by the end of 2016; the conversion contract comes with the option to covert two more vessels.

CIMB analysts estimate the deal to be worth between US$580 million and US$700 million, based on potential funding to be raised by Golar.