DSME joins Angolan construction venture

South Korean engineering contractor DSME has agreed to acquire a 30% stake in the Paenal Joint Venture in Angola.

Offshore staff

MONACO-- South Korean engineering contractor DSME has agreed to acquire a 30% stake in the Paenal Joint Venture in Angola.

Sonangol and SBM Offshore are the current partners in the venture, which concerns the Paenal Yard in Porto Amboim.

The two companies established the yard in 2007 to provide fabrication of topsides modules and FPSO integration for Angola’s oil and gas industry. The Phase I development involved investment in fabrication facilities, a limited quayside, and personnel training.

DSME has signed a further letter of agreement with the partners to undertake module and associated FPSO construction and integration works at the yard for the Total-operated CLOV FPSO, destined for deepwater Block 17.

This contract will allow Phase II of the yard development to proceed, which involves completion of the quayside to accommodate low berthing of FPSOs; investment in a heavy-lift crane to lift modules on to the FPSO; additional module fabrication facilities; and further personnel training.

Once Phase II is complete, the yard will be equipped for FPSO topsides process modules fabrication and integration.

Jose Benge, Chairman of Paenal stated: "We are very pleased to welcome DSME as a new partner in the Paenal Joint Venture and believe their construction expertise will strengthen the yard capabilities which will enable an increasing volume of oil and gas project work to be performed in Angola. "

10/22/2010

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