Modec forms FPSO joint venture with Toyo

Japanese floater expert Modec and its compatriot Toyo Engineering Corporation have reached an agreement to establish a joint venture company for the engineering, procurement, construction and installation (EPCI) of floating production storage and offloading (FPSO) vessels.

The company called Offshore Frontier Solutions will be based in Singapore, with Modec owning a 65% stake and Toyo the remaining 35%.

Modec and Toyo have been collaborating on the topside EPC scopes for several FPSO projects over the past 15 years. Modec noted that FPSOs have increased in size and complexity, and contracts have become long-term as offshore oil and gas development projects increase in scale and move into deeper waters.

“As one of the few companies that can address these large-scale FPSO projects, Modec recognises the importance of enhancement of its engineering and project management capabilities to meet clients’ requirements and expectations,” the company said in a release on Friday.

The joint venture establishment, subject to authorities’ approval, would also aim to develop new technologies for next-generation FPSOs through the synergies of the two companies.

Adis Ajdin

Adis is an experienced news reporter with a background in finance, media and education. He has written across the spectrum of offshore energy and ocean industries for many years and is a member of International Federation of Journalists. Previously he had written for Navingo media group titles including Offshore Energy, Subsea World News and Marine Energy.

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