(Asia-Pacific) - Malaysia's MISC Berhad has signed a $19.7 million contract with Petrofac (Malaysia-PM304) Ltd. for leasing a floating storage and offloading (FSO) for the Cendor field, which will start producing oil from July 2006.
The contract is for a fixed term of two years plus one year. Further extension to the FSO contract is subject to approval of the Malaysian national oil corporation, Petronas, which oversees the field operation and management of the production sharing contract for the overall concession of the block PM304, off the east coast of Peninsular Malaysia.
MISC fabrication yard, Malaysia Marine and Heavy Engineering Sdn Bhd, is converting and refurbishing the FSO from a 63,155 dwt tanker into a 517,798-bbl storage capacity facility.
It would be moored to the seabed in a water depth of 63 m by means of a 10-point spread mooring system some 140 km from the Trengganu shore, said the MISC, which is also an energy transportation and shipping unit of Petronas.