Technip-Daewoo Consortium Wins Contract for FLNG Unit in Malaysia

Technip, in a consortium with Daewoo Shipbuilding & Marine Engineering (DSME) Co. Ltd., the Technip-Daewoo Consortium (TDC), was awarded by Petronas Floating LNG 1 (Labuan) Ltd, a wholly owned subsidiary of Petroliam Nasional Berhad (PETRONAS) a services contract for engineering, procurement, construction, installation and commissioning for floating liquefied natural gas (FLNG) facility of 1.2 million ton per year maximun capacity.

The 300 meter-long and 60 meter-wide FLNG facility will be located offshore Malaysia. The contract is an Alliance between TDC, led by Technip, and Petronas. Technip’s portion is composed of project management services and lump sum for engineering.

The detailed design of the topsides(1) will be executed by Technip’s operating centers in Kuala Lumpur, Malaysia, and Paris, France. Engineering of the hull and building of the FLNG facility will take place at Daewoo’s shipyard in Okpo, South Korea. This contract follows the successful completion of the front-end engineering design phase awarded to TDC in December 2010.

Thierry Pilenko, Chairman and CEO of Technip, declared: “This new contract, led by our Kuala Lumpur operating center, confirms Technip leadership in the very promising market of offshore natural gas liquefaction. The award combines several technologies and know-how from Technip: natural gas liquefaction, offshore floating facilities and subsea infrastructures. Together with the expertise of DSME and our long standing relationship with Petronas, Malaysia’s national oil company, we are confident in the success of this strategic project.”

Wan-Soo Ryu, Senior Executive Vice President and CBO of DSME said: “This is a key award for TDC as the FLNG facility is a high value-added mixed structure. DSME is expecting additional contracts with the development of underwater natural gas fields all over the world.”