Bumi Armada consortium bags $1.18 billion FPSO contract

Bumi Armada consortium bags $1.18 billion FPSO contract

KUALA LUMPUR, Malaysia -- Bumi Armada Berhad has announced that its wholly-owned subsidiary Bumi Armada Offshore, together with its JV company PT Armada Gema Nusantara, has been awarded a contract to supply one FPSO for the Madura BD field, issued by Husky CNOOC Madura.

The Madura BD field is situated approximately 65 km east of Surabaya and about 16 km south of Madura Island, offshore Indonesia.

The contract is for a firm charter period of ten years with options of five annual extensions.

The estimated aggregate value of the contract is approximately $1.18 billion (equivalent to approximately RM3.98 billion), and it is expected to contribute positively to the earnings of the Bumi Armada Group for the quarter and financial year ending on Dec. 31, 2014, as well as the financial periods thereafter for the duration of the contract.

The FPSO is expected to commence operations in the Madura BD field in the fourth quarter of 2016.