Sembawang Shipyard, in cooperation with Scorpa Pranedya, has won a $300m floating storage offloading (FSO) tanker conversion contract from Exxon Mobil subsidiary Mobil Cepu.

Under the contract, Sembawang Shipyard, a subsidiary of Sembcorp Marine, will carry out the engineering, procurement, construction, commissioning and hook-up work of a very large crude carrier (VLCC)-sized FSO vessel for the Banyu Urip project in Indonesia.

Following the conversion, the vessel is expected to be deployed in offshore Tuban for the Banyu Urip Project in East Java, Indonesia.

The project is expected to be completed within 27 months.

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