Kuala Lumpur: Bumi Armada Offshore Holdings (BAOHL) and its joint-venture company PT Armada Gema Nusantara have finally signed off a contract worth up to RM3.98bn ($1.18bn) to supply a floating, production, storage and offloading vessel (FPSO) to Husky-CNOOC Madura.
The contract is for a firm charter period of ten years worth RM469m ($133.9m), plus options of five annual extensions, effective as of August 8, 2014.
Jakarta-based Husky-CNOOC Madura will deploy the FPSO at the Madura BD Field in the Madura Strait, offshore East Java, Indonesia. Operations are expected to commence in the fourth quarter of 2016.
The companies signed a letter of intent (LOI) for the deal on August 8 that was originally set to terminate on October 31, but all parties agreed to extend it to December 8.
BAOHL owns, charters and manages of ships and offshore vessels and provides marine support and other services to offshore oil and gas companies. It is a subsidiary of Malaysia-listed Bumi Armada.
PT AGN is an Indonesian joint-venture company of BAOHL and PT Gema Marine Services. [11/12/14]