keppel group newsletter keppelite · drawing up plans and conducting exercises are just some of the...

Keppelite I December 2006

Sterling 2006

for Keppel 8

Evergro positions for

new growth 16

Pandemic ready 34

Keppel Group Newsletter

DECEMBER 2006www.kepcorp.com/ekeppeliteeppel

Keppelite

MICA(P) NO. 045/11/2006

Strengthening tieswith Qatar

Strengthening tieswith Qatar


Published for people in the Keppel Group by the Group Corporate Communications Division, Keppel Corporation Limited, 1 HarbourFront Ave, #18-01 Keppel Bay Tower,Singapore 098632. Printed by Image Printers Pte Ltd, Blk 1002, Redhill Industrial Estate, Jalan Bukit Merah, #03-12, Singapore 159456.

Editorial AdvisorWang Look Fung

EditorDiana Chan

Editorial CommitteeAndrea Lee, Andrew Ong, Ang Lai Lee, Clara Ko, Fatima Lay, Felicia Lee, Grace Chia, Hong Tin Wei, Ivana Chua, Kelvin Ng, Lai Siang Chin, Lee Yin Chiin, Low Hooi Hoon, Mohd NorNordin, Nicole Ma, Nicole Tan, Pamela Almeda, Phang Weng Onn, Quek Mong Song, Romell Song, Roy Tan, Sarah Seah, Serena Toh, Teri Liew, Teo Chang Ching, Woon Pek Yong

Contents

CO REG NO: 196800351N

BUSINESSKeppel builds world’s first concrete heavy lifter 4

MBFC Residences achieves new benchmarks 6

Keppel Singmarine secures first FSO contract 7

Driving growth beyond 2006 8

Keppel divests stake in West Berani 15

Dragon Land is now Evergro 16

Keppel completes PEMEX ahead of schedule 18

Well in progress 20

Is oil sweet? 21

Steady progress on Petrobras projects 22

Special FocusStrengthening ties with Qatar 24

Keppel Energy powers up in Ecuador 27

Charting key milestones 28

Making safety tops 30

The Beacon stands tall 33

Best 3PL Supply Chain Provider in China

Pandemic ready 34

Borneo Motors gears up with TradeOne Asia 36

Wireless with iCELL

Catch the reel story 37

TEAMNongsa Point Marina scores with boaters 38

Moving to the Keppel beat 39

PEOPLESanta visits HQ 40

Mission 007 41

Challenge to scale new heights 42

Willpower

Keppelites AbroadGlad is she in Vietnam 43

COMMUNITYBrightening community colours 44

Keppel VolunteersTree cheers for Christmas 47

BACK PAGEKeppel enhances leadership position in 48

jackup rigs

eppel

6

40

4


Editorial

Keppel’s focused efforts on ensuring

business continuity in the event of an Avian Flu

pandemic went into full grind early this month, as

our ability to function ‘business as usual’ was

put to a test.

In recent months, whether back in HQ at Keppel

Corporation or in business units such as Keppel

FELS, Keppel Shipyard and Keppel Cebu Shipyard,

pandemic preparedness exercises were carried out,

albeit on different scales corresponding to the

size of respective operations.

These are but the first of many such exercises to

be organised. As Keppel continues to spread our

wings abroad, there is no telling when and which

country in which our operations are based will be

affected by dreaded viruses and diseases.

Drawing up plans and conducting exercises are just

some of the measures that keep us vigilant,

ensuring that we are able to mobilise and respond

swiftly and decisively when such a pandemic

occurs.

For sure, these exercises do cause a certain degree

of inconvenience, but this is the only way to test

the robustness and efficiency of our processes in

dealing with such an outbreak. Without it going

‘live’, we would not have the opportunity to

identify gaps, come up with mitigating actions,

and fine tune our processes.

All these are part of Keppel’s continual efforts in

Business Continuity Management, which provides

the Group with a systematic, standardised and

transparent process to manage risks that may

impact our businesses.

Procuring and installing equipment, backing up

data, and drawing up detailed processes will not

ensure that the Group comes through a pandemic

unscathed. There is also the aspect of psychological

preparedness that Keppelites need to embrace so

that when a pandemic does strike, our Can Do!

spirit comes to the fore again to help the Group

ride out the storm.

Even as we continue to test our Group’s

preparedness, we can do our part as well. Simple

things such as washing your hands regularly, being

socially responsible, keeping healthy with exercise

and diet, and being familiar with the various alert

stages will go a long way in helping to prevent the

virus from hitting us unexpectedly.

It is difficult to predict when a flu pandemic will

strike, but it will serve us well to be ready and

prepared. The efforts of all at Keppel will be needed

and mustered to minimise the impact of a

pandemic.

Ready with a robust response


4 Business


4 Business

Keppel Offshore & Marine(Keppel O&M) through itswholly-owned subsidiary inThe Netherlands, KeppelVerolme BV has secured aEUR140 million contract tobuild a floating heavy lifterfor the decommissioning ofoffshore structures.

The contract caters foradditional work on thevessel, which if awarded,may potentially increase thecontract value by anotherEUR24 million.

This innovative first-in-the-world heavy lifter of its classwas awarded by MPUOffshore Lift ASA (MPU), asubsidiary of the Norwegiandesign and developmentcompany MPU Enterprise AS.

This semisubmersibleplatform is expected to becompleted by early 2009.

Keppel Verolme will executethe marine outfittingworks and build theaccommodation block aswell as fabricate and carryout steelwork and installequipment for liftingtopsides and jackets. It willalso lease its facilities for theconstruction of the concretesubstructure by the owner’sappointed civil contractor.

Mr Harold Linssen, MD ofKeppel Verolme, said, “We

EUR140 m contract to build world’sfirst concrete heavy lifter

are glad to be entrusted withthe task of building thismulti-purpose heavy lifter forMPU, primarily to supportthe decommissioning ofredundant platforms inremoving topsides and steeljackets.

“The project is the result offour years of partnershipwith them in developing an

innovative, safer, robust andcost-efficient single liftsolution for the liftingoperations required toremove oil and gas platformsin the North Sea andglobally.”

Decommissioning is requiredwhen an operational rigreaches the end of itsproductive life or when a

reservoir is depleted. Withthe design life of most ofworld’s platforms reachingtheir retirement at 20 to 25years, the market fordecommissioning will onlygrow with time.

T h e p r o c e s s i ndecommissioning includesengineering and planning forthe plugging and

Keppel Verolme will build the innovative first-in-the-world heavy lifter of its class for the decommissioning of offshore structures

Business 5


abandonment of wells, theremoval of platforms and thecleaning out of hydrocarbonsand other contaminantsfrom lines, tanks andequipment.

One of the world’s largestdecommissioning projects isthe Ekofisk project, which islocated in the North Sea.Contracting work on thisproject has already startedfor the removal of morethan 10 platforms whichaccording to the plan shall beremoved by 2013.

Mr Linssen commented,“Decommissioning in theNorth Sea is a very new

market. In this segment ofthe offshore market, one ofthe challenges has been tocome up with new liftingtechniques which canperform the tasks quicker,safer and at less cost.”

Developed by MPU, the MPU(Multi Purpose Unit) HeavyLifter distinguishes itself fromother removal vessel designsby its use of concretetechnology which givesthe heavy lifter greaterrobustness and less motionon the sea. The otherdifferentiating factors are thecost-effectiveness in theconstruction and operationof the platform, as

well as the additionalfunctionalities. The heavylifter may also be used forinstalling topsides andjackets.

“For MPU, this concludes8 years of conceptualdevelopment, model tanktesting, design andverifications. Hence we arenow very pleased to haveraised the necessary fundingto enter into a buildingcontract with KeppelVerolme.

“The response from themarket, potential clients andthe investors have been veryenthusiastic. We are now

looking forward to see thevessel ready for operation in2009 as there is a greatdemand for new liftingcapacity in the offshoredecommissioning andinstallation market.

“We are pleased to see thatthe vessel is going to be builtat Keppel Verolme. The yardis a well reputed Europeanyard with excellent trackrecord and they have been asupporting partner in theprocess of developingthis new technology,” saidMr Kolbjørn Høyland, CEOof MPU Offshore Lift ASA.keppelite

Mr Choo continued, “Thedifficult weather and fieldconditions of the North Seacall for an innovative offshorerig solution that canmaximise functionality inorder to make searching andproducing hydrocarbons inthe marginal fields more timeand cost effective. Our newKFELS N Class drilling rig hasbeen created to meet thisneed.

“The KFELS N Class rig hasthe KFELS Super B deep-welldrilling capabilities and has

sufficient deck space forproduction modules to beoutfitted. The design of therig allows it to undertakeproduction activities withoutcompromising the rig’sdrilling capability.

“Keppel’s decision to havean equity stake in the rigdemonstrates our confidencein the KFELS N Class design,as well as the current jackuprig market. We believe thatthe design is a technicallyadvanced rig that can meetthe needs of customers

operating in harsh offshoreenvironments.”

Mr Bjarne Skeie, Chairman ofSkeie Group, said “Newtechnologies and moreinnovative rig designs aremaking development ofmarginal fields in the NorthSea commercially viable. Weare glad to be able to engageKeppel O&M right from theon-start of our conceptdevelopment.

“Our partnership withKeppel has borne fruit in the

...continued from back page.

development of the KFELS NClass rig, which we believewill set new benchmarks forthe next generation of jackuprigs. This rig can drill deeperand drill more wells, witheasily added on productionfunctions.

“Keppel FELS’ ability todevelop innovative solutionsand to consistently deliver onits promise through excellentproject execution in thecurrent tight constructioncapacity situation makesthem second to none in theirmarket.” keppelite

Launch of innovative KFELSN Class rig

6 Business


Incessant phone calls. Floodof email enquiries. And then,they were gone. All 428 unitsat Marina Bay Residenceswere sold out in three daysbefore the public launch, andset a new record price ofS$3,450 psf for a 99-yearleasehold property.

Marina Bay Residences alsoscored another first when thedevelopers introduced anunprecedented biddingsystem for its highly sought-after penthouses. The11,000 sf waterfront uberpenthouse which crownsMarina Bay Residenceswas sold in excess ofS$28 million.

Around 60% of the saleshave been to Singaporeanbuyers and the balance tobuyers from the regionincluding Indonesia, HongKong, India, the Middle Eastand China.

“Strong interest in MarinaBay Residences has beenbuilding since details of thedevelopment were firstannounced in October thisyear.

“Our sales agents, CBRichard Ellis and DTZDebenham Tie Leungrecorded around one

MBFC Residences achievesnew benchmarks

thousand sales enquiriesprior to the stipulated launchdate,” said Kan Kum Wah,MBFC Development Head ofResidential Marketing.

According to the developers,stunning bay-wide views,three exclusive ‘sky lounges’and open balconies inalmost all of the 428 luxuryapartments are featuresthat will put Marina BayResidences at the forefront ofworld-class urban waterfrontliving.

Kum Wah said that worldrenowned architects KohnPedersen Fox of New Yorkhad designed the 55-storeyMarina Bay Residences totake full advantage of thestrategic epicentre MarinaBay location.

“Centred in the world’s latest‘live, work and play’destination at Marina Bay,the Marina Bay Residences’peerless location will placeowners at the heart of the

24/7 waterfront action withthe glamorous integratedresort, tranquil WaterfrontGardens and world classbusiness district,” he said.

With such an unparalleledlocation and compellingwaterfront lifestyle offering,Marina Bay Residences havenot only set new benchmarksin Singapore but put ourisland city on the world mapfor iconic waterfront living.keppelite

Marina Bay Residences gone in a flash – sold out in three days

6 Business

Business 7


Keppel Singmarine hasclinched a S$135 millioncontract to build a FloatingStorage and Offloadingsystem (FSO) unit for LUKOIL–N IZHNEVOLZHSKNEFT(LUKOIL-NVN), a subsidiaryof the Russian oil company,LUKOIL Oil Company.

The 28,000 tonnes (dwt) Ice-Class FSO is a new designby Marine TechnologyDevelopment Pte Ltd(MTDTM), the design arm ofKeppel Singmarine.

Mr Hoe Eng Hock, ED ofKeppel Singmarine, said,“This is our first FSOnewbuild. She is a follow-through of our strategy toenhance our design andconstruction capabilities andexpand into related productlines in sync with the demandin the offshore logisticmarket.

“This FSO is designedfor operations in coldtemperatures up to minus 20deg Celsius and in icethickness of 60cm. As thedevelopment of oil and gasfields in harsh environmentssuch as the Caspian Sea andthe Arctic Circle gathers pace,we are allocating resourcesand expertise to becomethe provider of choice for

Keppel Singmarine secures firstFSO newbuild contract

customers seeking innovativesolutions in specialisedice-class vessels to operatein difficult weatherconditions.”

The MTD13028FSO-IC FSO isdesigned with provisions forforecastle deck structure forsingle point mooring, withdouble bottom and doublesides, with habitabledeckhouse and Cargo OilControl Station (COCS),machinery space and helipadin the aft of the vessel.

The vessel is meant foruninterrupted services inreceiving crude oil froma stationary productionplatform through single buoymooring system, storage ofoil on board and finally

offloading of oil to shuttletankers.

The growing demand for oiland gas all over the worldhas encouraged the Russianenergy sector to expand itsoil and gas development,production and exports.

Scheduled for delivery in thefirst quarter of 2009, thenon-propelled FSO unit willbe deployed to the CaspianSea where it will receive andstore incoming crude oil andoffload it to shuttle tankers.

Keppel Singmarine, a wholly-owned subsidiary of KeppelCorporation Limited throughKeppel Offshore & Marine(Keppel O&M), is thespecialised shipbuilding arm.

Since the early 1970s, thecompany has designed andbuilt more than 300 smallto medium-sized vesselsincluding AHTS, multi-purposesupport vessels and tugboatsfor a worldwide clientele.

L U K O I L -NIZHNEVOLZHSKNEFT is aleading Russian oil companywith main activities in oiland gas exploration andproduction, and productionand sale of petroleumproducts. It is involved in theexploration, developmentand production of oil andgas in Southern RussianFederation of VolgogradAstrakhan and Caspian Sea.It is also a partner in the jointexploration for oil and gas inthe Azov Sea. keppelite

This is our FSO newbuild. She is a follow-through of ourstrategy to enhance our design and constructioncapabilities and expand into related product lines in syncwith the demand in the offshore logistic market...

...As the development of oil and gas fields in harshenvironments such as the Caspian Sea and the Arctic Circlegathers pace, we are allocating resources and expertise tobecome the provider of choice for customers seekinginnovative solutions in specialised ice-class vessels tooperate in difficult weather conditions. Mr Hoe Eng Hock,ED of Keppel Singmarine

Business 7

8 Business


KEPPEL CORPORATION

JanuaryThe Keppel Group and racepartners welcomed thearrival of the internationalClipper fleet in Singapore atKeppel Bay, with thefestivities held at its premierwaterfront developmentCaribbean at Keppel Bay.

MarchKeppel Corporation wasranked among the best ofSingapore-listed companiesin investor relations at theinaugural ‘SingaporeCorporate Awards’, winninga silver award. The event wasorganised by The BusinessTimes and UBS andsupported by SingaporeExchange and six otherpartner organisationsincluding the SecuritiesInvestors Association ofSingapore.

JulyKeppel Group’s highstandards of corporatetransparency receivedendorsement in TheBusiness Times CorporateTransparency Index withKeppel Land, KeppelCorporation and KeppelTelecommunications &

Driving growth beyond 2006The year 2006 was yet another sterling one for the Group. The Offshore & Marinedivision bagged a record level of contracts while keeping focused on projectexecution. Property arm Keppel Land rode the strong demand in Singapore andthe region while also unlocking the value of its assets. The Infrastructure divisionsecured milestone contracts in the Middle East and Singapore while expanding itsfootprint.

Attracting and retaining talent is key to sustaining growth in the Keppel Group

Beyond awards and accolades, corporate transparency is Keppel culture

Business 9


Transportation (Keppel T&T)ranked third, fifth andseventh respectively.

SeptemberKeppel Corporation wasawarded the Golden CircleAward for being theoverall winner of the MostTransparent CompanyAward across all categories atthe Securities InvestorsAssociation’s 7th Investors’Choice Awards.

In addition, KeppelCorporation topped twocategories for companieswith market capitalisationexceeding S$1 billion and for‘ M u l t i - I n d u s t r y /Conglomerates’. KeppelCorporation was also the firstrunner-up for the SingaporeCorporate GovernanceAward for going beyondthe Singapore Code ofCorporate Governance andits practices that are in linewith best internationalpractices.

Keppel Land was the runner-up in the Property categoryof the Most TransparentCompany Award, whileSingapore PetroleumCompany (SPC) bagged aMerit Award for corporategovernance.

OctoberThe Keppel Group launchedits branding and talentattraction campaign over thetelevision, print media andthe web.

Keppel Group’s contributionsto developing the arts in

Singapore were recognisedby the National Arts Councilat the Patron of the ArtsAward, with KeppelCorporation, Keppel FELSand SPC receiving awards.

Keppel repeated itssponsorship of the Singaporeyacht for entry in the Clipper07-08 Round the WorldYacht Race, increasing itssupport as Primary Sponsorand hosting the Singaporestopover at Keppel Bay.

NovemberKeppel issued theCommodity LinkedGuaranteed Notes due underthe S$1 billion structurednote programme arrangedby the Singapore branch ofSociété Générale.

OFFSHORE & MARINE

JanuaryKeppel Singmarine startedthe year by clinching threeAnchor Handling Tug/Supply

(AHTS) newbuildingcontracts from repeatcustomers for a total ofS$120 million.

Keppel Shipyard undertookthe world’s first LiquefiedNatural Gas (LNG) floatingstorage and re-gasificationconversion in a contract withGolar LNG worth aboutS$90 million.

Keppel FELS secured a repeatorder for an ultra-deepwatersemisubmersible drilling rigfrom ENSCO International(ENSCO) with a totalproject value of aboutUS$338 million.

Keppel FELS deliveredENSCO 107, a KFELS B Classdesign jackup drilling rig, toENSCO one month ahead ofcontractual schedule andwithin budget.

Sinvest ASA’s wholly-ownedsubsidiary exercised theoption for its fifth jackup rig,

a KFELS Super B class design,to be built at Keppel FELS.

FebruaryKeppel AmFELS received afifth order from ScorpionOffshore for a jackup rigvalued at US$143 million.

Keppel Shipyard successfullydelivered FPSO Alvheim, itsfirst Floating Production andStorage Offloading (FPSO)facility for MarathonPetroleum.

Keppel Shipyard entered afive-year service agreementfor the drydocking of a fleetof Moss Rosenburg type LNGcarriers chartered by QatarLiquefied Gas.

Keppel Shipyard successfullydelivered the 13-month fasttrack conversion of FPSOCapixaba to repeat customerSingle Buoy Moorings.

Continues on page 10...

Despite a record-breaking level of new orders in 2006, Keppel FELS remains focused on project execution

10 Business


...continued from page 9.

MarchThree Keppel O&M yardspooled resources for theUS$177 million fast-trackupgrading of asemisubmersible drilling rigBlackford Dolphin for asubsidiary of Fred OlsenEnergy ASA.

Keppel O&M increased theoperational flexibility of itsshipyards in the Philippinesfrom Keppel Corporationgaining 81% control ofKeppel Philippines Marinefollowing a general offer forthe holding company for itsshipyards there.

Keppel AmFELS received aUS$110 million contract tobuild a new jackup rig forAtwood Oceanics.

GlobalSantaFe Corporationselected the proprietarysemisubmersible design,DSS-51, jointly developedby Keppel’s DeepwaterTechnology Group andMarine StructureConsultants for its

US$270 million order of anultra-deepwater drilling rig.

Repeat customer ProsafeProduction awarded KeppelShipyard contracts valued atapproximately S$130 millionfor the conversion of twonew FPSO facilities.

Keppel FELS received arepeat order for a third KFELSB Class jackup rig fromAwilco Offshore valued atUS$146 million.

Keppel FELS enteredthe Indian offshoredrilling market with aUS$171 million KFELS B classjackup rig order from drillingcontractor DiscoveryHydrocarbons, a JindalGroup Company.

Keppel O&M signed a letterof intent with Qatar GasTransport Company to jointlydevelop and manage a majornew facility in Qatar’s RasLaffan port for theconstruction, repair and

maintenance of ships andother marine structures.

Keppel FELS secured asecond order for a KFELS BClass jackup rig valued atUS$184 million from theJindal Group.

AprilDiamond Offshore awardedthe US$102 millionupgrading of itssemisubmersible to KeppelFELS, the fourth Keppel FELShas undertaken.

Keppel FELS secured its firstorder of a KFELS B Classjackup rig for Mercator Linesfor US$180 million.

Keppel FELS delivered thefirst of four jackups underconstruction for SeaDrill ontime and within budget.

Keppel FELS establishedBintan Offshore Fabricators,a majority-owned jointventure, to undertakefabrication work at a$6 million facility on BintanIsland, Indonesia, for projectssecured by Keppel FELS.

MayKeppel FELS and KeppelVerolme have each clincheda contract from Transoceanfor the upgrading of a Sedco700-series semisubmersibledrilling rig worth a total ofUS$140 million.

Keppel FELS secured acontract to build itsfourth ultra deepwatersemisubmersible drillingplatform for A.P. Møller -Mærsk for S$415 million.

Maersk Contractors awardedKeppel Shipyard thefast-track conversion of atanker to a FPSO facility forapproximately S$96 million.

JuneKeppel Shipyard andKeppel Verolme securedS$127 million of contracts

Keppel Singmarine scored a series of firsts with its proprietary Ice-class designs for Russiancustomer LUKOIL

With Keppel FELS’ on time, on budget reputation, the company penetrated the Indian offshore rig market with an impressive tally of fourjackup orders. Management of Keppel O&M and Great Eastern Shipping seen here inking a deal

Business 11



for the conversion of a tankerto a FPSO facility and therepair of a FPSO vesselrespectively.

Keppel FELS secured itsfourth order from India for aUS$182 million KFELS B Classjackup rig to be built forGreat Eastern Shipping.

Keppel FELS expanded itsfacilities with the lease of a9-ha site for the fabricationwork for newbuildingprojects as well as for themooring and repair of rigs.

JulyKeppel strengthened tieswith LUKOIL throughS$260 million in contracts tobuild an auxiliary icebreakvessel and a multi-purposeicebreaking supply vessel.

The Keppel FELS/Technipconsortium completed theextremely challengingmating of one of the world’slargest floating productionplatforms, the P-52, in Brazil.

AugustKeppel FELS secured a

g r o u n d b r e a k i n gUS$270 million contract todesign and build its firstsemisubmersible drilling rigfor deployment in Brazilianwaters for Brazilian drillingcontractor Queiroz GalvãoPerfurações.

SeptemberKeppel FELS secured its thirdcontract from a subsidiary ofENSCO International for anu l t r a - d e e p w a t e rsemisubmersible (semi)drilling rig valued atapproximately US$385million.

OctoberKeppel Kazakhstan launchedKazakhstan’s first barge,the transportation bargeAKKU1 built for AgipKazakhstan North CaspianOperating Company N.V.(Agip KCO) in the presenceof President of the Republicof Kazakhstan, His ExcellencyMr Nursultan A Nazarbayev.

Keppel O&M securedcontracts totallingS$210 million to convert two

FPSO facilities and the buildfive AHTS vessels.

In recognition of its excellentsafety record, Keppel FELSBrasil was commended byPetrobras for achieving sixmillion workhours with zeroloss time incidents on theconstruction of the floatingproduction units, P-52 andP-51.

NovemberKeppel FELS delivered theAl-Khor, its first jackupdrilling rig for Qatar’snational drilling companyGulf Drilling International Ltd(GDI), ahead of schedule.

DecemberKeppel FELS secured aUS$371 million contract tobuild the first KFELS N Classjackup rig for ProdJack AS, amember of the Skeie Group,and took a 10% equity stakein the rig that can undertakedrilling and productionactivities concurrently.

Keppel FELS divested itsentire 72% stake in the ultra

deepwater tender rig, WestBerani, to SeaDrill Asia forapproximately US$72 millionupon its completion.

Keppel Singmarine secured aS$135 million contract tobuild the first its proprietarydesign, a Ice-Class FloatingStorage Offloading systemfor a LUKOIL subsidiary.

The Keppel-led consortiumcompleted the onshoreconstruction of two 220-crew accommodationplatforms for a PetrÓleosMexicanos subsidiary aheadof contractual schedule.

Keppel O&M broke into thedecommissioning marketwith a EUR140 millioncontract to build the world’sfirst concrete heavy lifter forMPU Offshore Lift ASA.

Keppel Singmarine deliversits first ice-class AHTS, M.V.Svetlyy to a high satisfiedcustomer, Lukoil-Kaliningradmorneft.

The sold-out Marina Bay Residences puts Singapore on the world map for iconic waterfront living

12 Business


PROPERTY

MarchThe final closing of AlphaCore Plus Real Estate Fund,by Keppel Land’s fundmanagement arm AlphaInvestment Partners,exceeded initial targets byraising S$720 million.

AprilDragon Land sold its wholly-owned subsidiary for apotential book profit ofabout S$24.2 million tounlock greater value from itsassets.

K-REIT Asia was listed on theMain Board of the SingaporeExchange, marking animportant milestone in bothunlocking value for KeppelLand shareholders andpositioning it as a premiermulti-national real estatecorporation in Asia throughleveraging its strong

portfolio of properties andnetwork.

JuneKeppel Land broadened itsfoothold in India with thedevelopment of a 1,670-unitcondominium in Kolkatatargeted at the expandingupper-middle incomemarket through a majority-controlled joint venture witha local partner.

JulyKeppel Land increased itsstake in Equity Plaza to64.6% as part of continuousefforts to consolidateinterests in its office portfolio.

SeptemberVoted as ‘China’s LeadingGolf Resort’, Spring City Golf& Lake Resort in Kunming,China was recognised for itsworld-class services andexcellent courses by travelprofessionals at the 13thAnnual World Travel Awards.

Keppel Land continued tounlock value from itsnon-core assets with anagreement to divest itsstake in a Suzhou industrialproperty company for aprofit of S$9.53 million.

OctoberCaribbean at Keppel Baywon the top spot for theresidential category of theFIABCI Prix d’Excellence,the real estate industryexcellence award. Otheraccolades received this yearwere the Gold Award(Implementation/Residential)at the Landscape IndustryAssociation (Singapore)Awards of Excellence 2006and the Merit Award forConstruction Excellence2006 presented by BCA.

Keppel Land divested itsentire 30% stake of a joint-venture company holding a98% stake in Ocean Towers,Shanghai, booking an

estimated net profit ofS$27.5 million.

NovemberKeppel Land unlocked thevalue of Bugis Junctionthrough the divestment ofits interest in HotelInterContinental Singaporefor a profit of aboutS$56.9 million.

Dragon Land unveiled itsnew corporate identity asEvergro Properties and alsoits plans for its first projectunder the new brand – a1.2 million sqm luxury villaand golf resort in Tianjin’sHangu District.

Keppel Land and itssubsidiary Evergro Properties,successfully acquired twoadjacent plots of prime landtotalling 82,987 sqm inChina’s Jiangyin, JiangsuProvince to develop aflagship urban livingproject.

DecemberMarina Bay Residences,the luxury apartments onSingapore’s downtownwaterfront jointly developedby Keppel Land and itspartners, was completelysold out even before thepublic launch of its 428apartments.

More than 90% of the 175apartments at The SixthAvenue Residences weresnapped up over theweekend of 16 December2006, at average prices ofS$1,000 psf.


Newly branded Evergro kicked off plans for a 1.2 million sqm luxury villa and golf resort in Tianjin

Business 13


INFRASTRUCTURE

JanuaryKeppel Seghers signed a25-year Design-Build-Own-Operate contract with theNational Environment Agencyfor a Waste-to-Energy (WTE)plant with potential to treat800 tonnes of waste per dayand generate 20MW of greenenergy.

MarchKeppel Seghers secureda contract to providetechnologies and services forthe first WTE plant to bebuilt in the city of Jiangyin,Jiangsu province, China.

AprilKeppel FMO successfullymade inroads into the MiddleEast airport operationsmarket with its firstmaintenance project inQatar’s Doha InternationalAirport.

Keppel Seghers enlarged itspresence in Argentina withtwo new contracts worthUS$1.3 million by newcustomers for UNITANK™,its state-of-the-artwastewater treatmentsolution.

JuneKeppel T&T enhanced itslogistics presence in Chinawith the strategic proposedacquisition of a 35%stake in Wuhu AnntoLogistics Company throughan investment ofRMB 49.9 million (approxS$9.9 million) in cashinto Annto, payable oncompletion.

Keppel FMO entered theChina hospital managementmarket through a majority-owned joint ventureto provide facilitiesmanagement, healthcaremanagement andconsultancy, and healthcarepersonnel training servicesto Linyi People’s Hospital inShandong, China.

JulyKeppel Seghers secured aS$30 million contract toprovide technologies andservices for the first WTEplant in Finland.

Keppel Seghers wascontracted to provide fourHARDpelletiser units forsludge treatment as well assupervise their construction

and commissioning for theStickney WastewaterTreatment Plant in Chicago,one of the world’s largestdryer plants.

AugustKeppel IntegratedEngineering (KIE) expandedits environmental footprint inTianjin with a S$13.5 millioncontract to provide


Keppel Seghers commenced the construction of Singapore’s newest WTE plant, on schedule for completion in 2009

Tapping opportunities in the Middle East, KIE opened its office in Doha, Qatar after securing the contract to build the region’s first integratedsolid waste treatment facility

14 Business


technologies for a WTE plantas well as a MOU with TianjinTeda EnvironmentalProtection Co. to jointlydevelop and invest in theenvironmental protectionmarket in China .

SeptemberKIE signed a Memorandum ofUnderstanding on strategicpartnership with ChinaNational EnvironmentalProtection Corporation toaddress the biomass andsludge treatment market inChina.

Keppel Seghers secured aS$13.3 million contract toprovide technologies andservices for the first WTEplant to be built in the cityof Changzhou, Jiangsuprovince, China.

OctoberKeppel Seghers commencedconstruction of Singapore’snewest WTE plant at TuasSouth. This is Singapore’s firstincineration plant to be builtunder the Public-PrivatePartnership (PPP) initiative.

To further grow itsenvironmental business inItaly, Keppel Seghers formeda strategic partnership withPassavant Impianti to addressthe local sludge treatmentmarket.

KIE won two contractstotalling S$1.7 billion fromthe Qatar Government todesign and build the largestintegrated solid wastemanagement facility in theMiddle East and to operate

and maintain the facility for20 years.

Keppel T&T acquired a 30%stake in iCELL, an operatorof more than 400 wirelesshotspots in Singapore.

NovemberThe foundation stone for theQatar Integrated DomesticSolid Waste ManagementCentre was unveiled in Doha,Qatar, in the presence ofGuest-of-Honour Mr LeeHsien Loong, Prime Ministerof the Republic ofSingapore.

DecemberKeppel Energy’s 150 MWpower barges commencedoperations in Ecuador on a15-year concession contractfollowing its previousdeployment in Brazil.

INVESTMENTS

JanuarySPC entered into a JerukProject Agreement with CueSampang Pte Ltd and MedcoStrait Services Pte Ltd, asubsidiary of PT Medco

Energi Internasional Tbk toshare the costs and revenuein respect of the Jeruk field.

Junek1 completed the sale ofThe Gas Company (GASCO)for a cash consideration ofUS$238 million, and a gainon disposal of approximatelyS$145 million.

SeptemberSPC and its partnersdiscovered natural gas andcondensate at the Wortel-1exploration well in theSampang Production SharingContract.

OctoberSPC expanded its presencein Guangdong, China withthe incorporation ofsubsidiary SingaporePetroleum (Guangdong)which will distribute andmarket SPC brandedlubricant products to theautomotive, industrial andcommercial sectors indomestically, as well asestablish a network ofSpeedy Care outlets offeringone-stop convenience for car

care and maintenance autoservices.

SPC acquired new acreage inBlock 101-100/04 in theSong Hong Basin, offshoreVietnam through aPetroleum ProductionSharing Contract for a 45%participating interest in withSantos Vietnam, operator ofthe PSC owning a 55%participating interest.

NovemberSPC signed a Memorandumof Understanding with PTPertamina to furthercooperation in oil and gasexploration, developmentand production projects,both in Indonesia andinternationally as well asfacilitate information sharingand exchanges.

SPC and its partnersdiscovered natural gas andcondensate over two sandintervals at the Thai Binh-1Xexploration well in Blocks102 and 106, offshoreVietnam. A second drill-stemtest successfully flowednatural gas in the upper sandinterval. keppelite


SPC continued its strategy to expand and grow its exploration and production business, seen here at the signing ceremony for the acquisition ofnew acreage in the Song Hong Basin, offshore Vietnam

Business 15


Keppel FELS divested itsentire 72% interest in therig, West Berani, toSeaDrill Asia Limited (SeaDrillAsia) for approximatelyUS$72 million.

The divestment followedthe completion of thesemisubmersible drillingtender (SSDT), which wasdelivered on time inDecember 2006.

In May 2005, Keppel FELSentered into an agreementwith SeaDrill Asia, formerlySmedvig Asia, to own andoperate the SSDT on a 72/28basis respectively. SeaDrillAsia had the option toexercise Keppel FELS’ interestin the rig upon completion.

West Berani is the fifthdeepwater tender drilling rigthat Keppel has built forSeaDrill Asia since 1994. Thefirst of the series, WestPelaut, was the world’sprimary purpose-built SSDTfor tender-assisted drilling.

West Pelaut has been votedthe Shell Platform Rig of theyear out of a fleet of 13platform rigs working forShell. The key performanceindicators were records forsafety, successful operationalperformance and consistentlong term performance.

Drawing from the initial

Keppel divests stake in West Beranifor US$72 m

design of West Pelaut, threemore state-of-the-art SSDTs,West Menang, West Allianceand West Setia, each withincreased variable deckloads,were subsequently built priorto West Berani.

Developed by the DeepwaterTechnology Group (DTG), aR&D arm of Keppel Offshore& Marine (Keppel O&M),under the KFELS SSDTdesign, this series of tenderrigs has been operatingsuccessfully in Asia Pacificand West Africa.

Conventionally, drillingtenders are only deployablenext to fixed platforms. TheKFELS SSDT series has beenenhanced to provide drillingcontractors and operatorsthe flexibility to operate indeepwaters alongside Sparsand Tension Leg Platforms(TLP).

A typical SSDT carries aDrilling Equipment Set (DES)and has high capacity cranesof up to 200 tonnes todeploy this DES onto theplatforms within 12 hours. Italso provides storage andaccommodation facilities upto 140 men.

West Berani has beencontracted by theconsortium of EssoProduction Malaysia Inc(EPMI), Newfield Malaysia

and Nippon Oil, for a periodof two years. It will bedeployed off Kuantan, inEast Malaysia.

The rig was named byMrs Cory Robinson, LadySponsor and wife ofMr Kevin Robinson, CountryManager of NewfieldMalaysia and Guest-of-Honour, on 9 December2006.

Mr Robinson said, “We arepleased that West Berani isdelivered on-time despitecurrent market conditions sothat she can be deployed asplanned. Our fields inMalaysia may have shallowwells but they are not easyand certainly need a good rigto do this job.”

Attributing the success ofthe project to SeaDrill and

Keppel’s good relations,Mr Kjell Jacobsen, CEO,SeaDrill Management said,“Although the level ofactivity in the yard is thehighest ever, it is with pridethat we are able to bring anew rig to the market asplanned, within budget, tothe agreed quality and withthe highest safety standards.

“Things are generally easierwith the people you know,and people you have learntto trust. Trust and confidenceis something that we onlycan earn and build over timeand that is the case betweenKeppel and SeaDrill.”

Keppel FELS had earlierdelivered one KFELS B Classjackup which is gainfullydeployed in West Africa.keppelite

Keppel FELS is currently building three KFELS B Class jackup rigs for SeaDrill Asia

16 Business


Evergro Properties Limited(Evergro), previously knownas Dragon Land Limited, ispoised for a new phase ofgrowth since becoming asubsidiary of Keppel Land ayear ago.

Launched with a newcorporate image and aninitial pipeline ofdevelopments acrossChangzhou, Jiangyin andTianjin, Evergro is set toembark on a long-termgrowth strategy that willstreamline and enhance theCompany’s operations, todeliver sustainable returns forits shareholders.

Mr Goh Toh Sim, Evergro’snew CEO said, “Evergro willbuild on the track recordestablished in the last 14years, leveraging its strongproperty developmentexperience and businessnetworks across China.

“In the mid to long term, wewill focus on developingresidential properties withintegrated lifestyle elementstargeted at the middle toupper income segments,especially those in thesecond-tier cities.

“Our more immediate task isto consolidate our operationsfor greater synergy so as tomaximise the potential of ourexisting portfolio. This willput us in good stead to

Dragon Land is now Evergro

capture new opportunities inthe market and pave the wayfor further expansion.”

Evergro’s new corporateidentity was unveiled in anauspicious ceremony inTianjin on 28 November2007 by Mr Liu Zi Li, Mayorof Tianjin Hangu Districtand His Excellency ChinSiak Yoon, Singapore’sAmbassador to China.

“The launch of our newidentity heralds a fresh startfor Evergro under our parentKeppel Land. It is also animportant step in positioningthe Company to harness vastresidential prospects acrossChina where strong qualitybranding is key to adeveloper’s success,” saidMr Goh.

In conjunction with the

launch of the Company’snew brand name, Evergroalso announced plans for a1.2 million sqm luxury villaand golf resort in Tianjin’sHangu District.

Evergro has a landbank ofsome 2.2 million sqm

comprising the Northern andSouthern islands within theYincheng Lake of HanguDistrict, one of threeadministrative districts withinthe Binhai New Area inTianjin.

With an area of 2,270 sq km

Evergro divests non-coreasset for S$11.2 million

As part of ongoing efforts to streamline operations,Evergro has entered into a sale and purchase agreementto sell its seven-storey light industrial factory building,Dragon Land Building, to Ho Bee Realty Pte Ltd for anaggregate consideration of S$11.2 million.

The building, which has a freehold tenure, is located at31 Tannery Lane and has an estimated gross floor areaof 3,701 sq m.

Evergro breaks new grounds with a mixed-use development poised to redefine urban living experience in Jiangyin

Business 17


Growth, Strength,Endurance and Integrity aredefining qualities behind theEvergro brand.

The new logo drawsinspiration from theevergreen bamboo, a symbolof strength and an icon forChina. Its qualities ofstrength, resilience, stability,vitality and upward growthparallel those of Evergro.

The ascending ridges ofthe bamboo shoots, whichmake up the logo, markconsistency, clarity ofdirection as well as chartedand sustainable growth.

The predominance of greencommunicates freshness,innovation and energy. Inaddition, the gradation ofshades of green signifies theholistic approach to developproperties that harmoniseand improve theenvironment as well as

enhance the quality of life ofthe people who use them.

BREAKING NEWGROUNDSEvergro together withparent Keppel Landannounced that they havesuccessfully acquired twoadjacent plots of prime landtotaling 82,987 sqm inJiangyin, Jiangsu Province fora mixed use development.

The entire site forms part ofa new and vibrant 2.6 sq kmextension of the city centre.It was secured for aboutRMB 460.3 million(approximately S$92 million)through a joint ventureled by Evergro (44.3%),which also comprises KeppelLand (39%) and a localpartner, Jiangyin ChengshiReal Estate Co. Ltd (16.7%).

At a ground-breakingceremony held the followingweek in Jiangyin, Evergro

CEO Mr Goh said, “This isour first acquisition under theEvergro brand, and the newproject will be of greatsynergy with our existingchampionship golf coursedevelopment in Jiangyin,which is just a few minutes’drive away.

“This project will employextensive urban planningand landscaping to create aholistic Live, Work and Playenvironment in line with thegovernment’s vision for thenew city centre. It will alsopresent stunning architecturethat will feature strongly inJiangyin’s skyline.”

The project site is located inthe designated civic andcultural district, whichfeatures the Grand Theatre,the City’s library andmuseum. It will be a newlandmark for urban livingwithin the new city centre,and is to house some of the

tallest and most iconicbuildings in the district.

To be built in two phases overa period of four to five years,the project has the capacityto yield over 2,100apartments, complementedby quality office and retailspace.

Targeted at the upper-middleincome segment comprisinglocal entrepreneurs andbusinessmen, this latestproject is expected to launchin early 2008, and will becompleted by early 2011.

and a population of 1.4million, the Binhai New Areahas been earmarked by thelocal government as aneconomic developmentzone, and a major growthengine for northern China.

“Serenity Cove Golf Villas, isour first residential showpiece in Tianjin. It is set topresent a new and distinctiveresort lifestyle in the BinhaiNew Area.

“This project has greatpotential for growth as it willbe an integral part of theTianjin government’s visionto create a coastal leisure andtourism zone in HanguDistrict,” said Mr Goh.

The development is inproximity to majorrecreational amenities suchas the TEDA Aircraft CarrierLeisure Park as well as several

upcoming internationaltheme parks.

Targeted at professionals andtop business executives inTianjin, Serenity Cove GolfVillas will feature some 451resort homes complete witha country club and the first18 holes of a European-styled course.

The first phase of 83 units in

this development hasreceived good responsefrom interested homebuyerswell ahead of its launch earlynext year.

Located within this luxuryresort is the Tianjin PearlBeach Island Country Club,with a 36-hole golf course.The first 18 holes, whichoccupy some 787,400 sqm,are open for play. keppelite

Icon of strength

18 Business


The Keppel SLP Consortiumhas completed the onshoreconstruction of two 220-crew accommodationplatforms for PEMEXExploraciÓn y ProducciÓn, asubsidiary of Mexicannational oil companyPetrÓleos Mexicanos(PEMEX) ahead ofcontractual schedule.

The Keppel-led Consortiumaccomplished threesignificant achievements forPEMEX in the design,engineering, procurement,construction and offshorecommissioning of this firstMexican project for KeppelOffshore & Marine (KeppelO&M):

1. The HA-KU-M and HA-KU-S platforms will bethe first fully integratedaccommodation units inoffshore Mexico. Theentire living quarters andthe machinery deckswere built as a single unitat Keppel AmFELS yardinstead of two separatemodules as wastraditionally carried out inMexico. This constructionmethod reduces theoffshore commissioningtime, therefore savingconsiderable time andcost for PEMEX.

Keppel completes PEMEX aheadof schedule

2. The design is very welloptimised and weightcontrol has been verysuccessful. Each platformhas achieved an efficientweight of about 3,300metric tonnes, which ismore than 100 metrictonnes below thecontractual weight.

3. The builder of theplatforms, KeppelAmFELS, registeredsterling safety record ofzero loss time, zeroincident for the total ofone million manhours inthe construction of eachplatform.

Mr Chow Yew Yuen,President of Keppel O&M(USA) and Head of theConsortium said, “Thisproject reflects theKeppel SLP Consortium’scommitment to add valueto PEMEX.

“The construction ofthese two accommodationplatforms has providedKeppel a betterunderstanding of theMexican offshore market andof our customer, PEMEX.

I am confident that theexperience gained from thisproject and Keppel’s strategic

location in the Gulf ofMexico will give us a goodfoothold in this veryimportant market.”

Mexico is the world’s thirdlargest producer of crude oil,

and its national oil company,PEMEX, ranks the eighthlargest integrated oilcompany in the world. Oilreserves and production in itsshallow water fields havebeen on the decline for

Business 19


PEMEX in recent years. Thecompany is now activelyseeking to work within thecountry’s strict legalframework to engage inmore deepwater play.

Mr Chow added, “Therecent scenario in Mexicopresents an opportunity forKeppel O&M to build up ourcredentials with PEMEX as achoice solution provider inthe design and construction

of rigs to meet their needsfor more offshoreexploration and production.”

Platforms HA-KU-M andHA-KU-S were loadedonto their carrier bargefrom Keppel AmFELS on13 October 2006 and29 November 2006respectively. They are due forthe Ku-Maloob-Zaap (KMZ)field in the Bay of Campeche,Gulf of Mexico, for hookup

SLP Consortium is very good.They are a very professionaland committed team. We areextremely pleased with thequality of the platformsdelivered by them. Both unitswere completed and testedto our satisfaction.”

The contract for the twoplatforms was secured atUS$164 million by theConsortium led by KeppelO&M USA in end-2004.Other partners are SLPEngineering Ltd, Gulf IslandLLC and Keppel AmFELS Inc.

Keppel O&M has a 60%share of the consortiumthrough its wholly-ownedsubsidiaries, Keppel O&MUSA and Keppel AmFELS.Keppel AmFELS has also builta jackup drilling rig, TONALA,a KFELS B class, forPerforadora Central forservice with PEMEX, in early-2004.

SLP Engineering Ltd is amarket leader in selectedenergy and utilities markets.The company hasundertaken the EPC contractof the last sevenaccommodation platforms inCantarell Field for PEMEX.

Gulf Island LLC is aworldwide leader in thefabrication of jacket anddrilling and productionplatforms, as well as otherspecialised structures used inthe oil and gas industry.keppelite

and commissioning, whichis expected to be completedby early-2007.

Production in the KMZ is onthe rise, and PEMEX isfocused on increasing itsoutput by around 100% bythe end of the decade.

Mr Manuel Diaz Lara,“Residente” (ProjectManager) of PEMEX, “Ourexperience with the Keppel

At every stage from construction to departure and installation of the accommodation platforms, the Keppel SLP Consortium delivered onits promise of a quality project, on time and on budgetAt every stage from construction to departure and installation of the accommodation platforms, the Keppel SLP Consortium delivered onits promise of a quality project, on time and on budget

20 Business


VIETNAMThai Binh-1X exploration welllocated in Blocks 102 and106, Song Hong Basin,offshore northern Vietnam,successfully tested naturalgas and condensate over twosand intervals.

The two intervals flowed ata maximum combined rateof approximately 23.0 millionstandard cubic feet per dayof natural gas through a 128/64" choke at a wellheadpressure of 534 psi.Condensate was produced ata rate of three barrels permillion cubic feet.

The well is located 50kilometres south of HaiPhong City and is drilled inshallow waters of 28 metresin depth.

A second drill-stem testsuccessfully flowed naturalgas in the upper sand intervalat the rate of approximately24.4 million standard cubicfeet per day through a 128/64" choke at the wellheadpressure of 514 psi.

Condensate was produced ata rate of one barrel permillion cubic feet of gas.

On a combined basis, thewell flowed at a totalmaximum rate of

Well in progressKeppelite updates readers on SPC’s drilling activities in Vietnam and Indonesia.

approximately 47.4 millionstandard cubic feet per dayof natural gas from the upperand lower sand intervalsthrough a 128/64" choke atan average wellheadpressure of 524 psi.Condensate was produced atan average rate of twobarrels per million cubic feetof gas.

After completion of thetesting operation, SingaporePetroleum Company (SPC)and its partners intend toproceed to plug andabandon the well and torelease the Adriatic-XI drillingrig. Going forward, SPC and

its partners will undertaketechnical works to evaluatethis discovery in Block 102.

INDONESIASantos Limited, co-venturerand operator of theSampang Production SharingContract, has reported thattechnical work on the Jerukoil discovery located in theSampang PSC, offshoreIndonesia, approximately 42kilometres from the city ofSurabaya, has been ongoingto integrate all well andseismic data to betterdetermine the most likely oilresource range.

This analysis is now largelycomplete and whilst thereare substantial remainingreservoir uncertainties, theupside recoverable oilresource for Jeruk is mostlikely to be less than 50million barrels.

Opportunities tocommercialise Jeruk arebeing pursued, howeverplans for additional appraisaldrilling have been placed onhold pending the review ofdevelopment scenarios andthe resolution of commercialand technical issues whichmay potentially impact theviability of any development.keppelite

Thai BINH-1X Exploration Well

Business 21


Yes, it is. In fact, it can alsobe light, sour and heavy,depending on its contentand properties.

Though they all look likeblack and gooey liquidsgushing out from theground, not all crude oil arethe same. Different oil fieldsaround the world produce oilthat differ in viscosity andsulphur content. As all crudeoil contains a certain amountof impurities, its quality andthe amount of processingit goes through woulddetermine the price of thepetroleum.

Sweet crude oil is a type ofpetroleum. The adjectivesweet usually refers to oilcontaining less than 0.5%sulphur and little carbondioxide. It is commonly usedfor processing into gasolineand is in high demandglobally, especially in the USand China markets.

Light crude oil as the nameimplies, is lower in densitydue to its low wax content.There is no clear distinctionbetween light and heavycrude oil because thecomparison is made more onpractical grounds thantheoretical.

Since crude oil with highviscosities are more difficultto transport/pump, thosewith apparently lighter waxcontent are referred to as

Is oil sweet?

‘light crude’ and the oneswith substantially more waxare classified as ‘heavycrude’.

There is also anotherclassification of oil which isusually not bought in themarket, because it is high inviscosity and does not floweasily, called the ‘sour heavycrude’.

Sour crude oil containsmore than one percent ofhydrogen sulphide (H2S)and also carbon dioxide. Souroil is toxic and corrosive andhas the smell of rotteneggs. Inhalation ofhydrogen sulphide at highconcentration is fatal. Furtherprocessing would be required

to remove the impuritiesbefore it can be used, whichmakes it more expensive thansweet crude oil.

Heavy crude oil or ExtraHeavy oil is any type of crudeoil which does not floweasily. It is a relative term,compared to light crude oil,relating to its production,transportation and refiningprocess. The main differencebetween heavy and lightcrude is in their density.

Due to their high viscositywhich results in its disabilityto flow under normalconditions, diluents are oftenadded into the pipelinestransporting heavy crude oilto facilitate its flow.

Because of their similarproperties, it is common tofind the term ‘light sweetcrude’ and ‘sour heavy crude’on the market, because itgenerally refers to the typeof oil that contains a certainamount of impurities.

However, analysts arearguing that we havereached the peak of lightsweet crude production andthat oil refineries worldwideshould be upgrading theirfacilities to handle heavy sourcrude, especially theworldwide leader, U.S. keppelite

Source:www.gasandoil.com/goc/news/ntn44964.htm

Singapore Refining Company purchases, refines and upgrades crude oil into main fuel products including liquefied petroleum gas, chemicalnaphtha, motor gasoline, kerosene, jet fuel, diesel, low sulphur fuel oil, bunker fuel oil, asphalt and sulphur

22 Business


Excellent project execution isa top priority at all Keppelyards. In doing so, we keepto the promise of on-timeon-budget deliveries.

Keppelite updates on twomega projects that theKeppel Offshore & Marinegroup is undertaking forBrazilian national oilcompany, Petrobras, inSingapore and Brazil

P-53: LIFTING OF TURRETRunning like clockwork overthree separate days, thelower turret, bogie andupper turret of the FloatingProduction Unit (FPU) unit,P-53 were installedfastidiously and successfully,

Steady progress on Petrobras projectsafter many calculations andprecise measurements by theproject teams from KeppelShipyard and Petrobras.

In a feat of lifting the 1650tonne lower turret on29 November 2006, theKeppel Shipyard team gaveno let-up in keeping theproject on schedule, even inthe midst of a threateningstorm which gave way toclear skies eventually.

The same procedure wasfollowed the next day in thelifting and installation of the750-tonne bogie. Theproduction unit’s upperturret, weighing 1466tonnes, was installed eight

days later, amidst cheersfrom the project teams ofKeppel Shipyard andPetrobras.

Previously known asVLCC Settebello, P-53 isundergoing a hullconversion, which includesthe installation of a marinesystem as well as thefabrication and integration ofthe internal turret on the322,446 dwt tanker.

With 75 risers, the P-53turret will be the largest everfabricated and installed inthe world and will be due forthe Marlim Leste field in theCampos Basin.

Lifting of the upper turret

Installation of the upper turretRepresentatives from Keppel Shipyard, Petrobras and Bureau Veritas during the installation of the lower turret

Business 23


P-51: MATING OF ‘C’SECTIONSWith a splash and at a click,the lower hull of FPU P-51became one.

This magnificent feat tookplace on 28 November 2006,when the two ‘C’ sectionswere successfully integrated.

Dubbed as one of Brazil’sunprecedented operations,Mr Tay Kim Hock, Presidentof Keppel FELS Brasil, shared,“The integration of the twosections is an importantmilestone for the BrasFELSyard and Brazil’s offshoreindustry.

“It also marks the success inthe transfer of technologybetween Singapore andBrazil.”

When Keppel FELSundertook the mating of thetwo sections for sister vessel,FPU P-52, in Singapore in July2005, the Brazil team was onthe ground to observe andunderstudy the integrationprocess.

Adopting the same conceptof temporary cofferdams,planning for P-51’sintegration started almostimmediately. A plan wasdeveloped and testedvirtually before actualexecution.

And so it was on 12 and23 November 2006 that thetwo ‘C’ sections werelaunched respectively fromthe slipway, before the

much-anticipated integrationon 28 November 2006.

It was a sight to behold sincethis was the first time suchan operation was executed inBrazil.

In a press report, Brazil’sSecretary of Energy, MarineIndustry and Petroleum, MrWagner Victer, shared thatthe mating of the twostructures was anunprecedented fact in thehistory of the Brazilian navaland offshore industry. It alsodemonstrated the technicalskills and capabilities of theshipyard.

With the participation ofKeppel FELS Deputy ShipyardManager Mr TT Low, whoworked hand-in-hand withthe Brazilian operations teamin accomplishing thismilestone, the mating tookplace with clock-workprecision.

Mr Low shared, “My mainrole in Brazil was to assist ourBrazilian colleagues in theintegration of P-51, sinceI was part of the team thatsaw through the mating ofthe P-52 lower hulls.Together with my Braziliancounterparts, we had toanticipate problems beforeactual execution, so as toensure that the entireoperation was carried outeffectively and efficiently.

“To the team at BrasFELS –Parabens (“Congratulations”in Portuguese)!” keppelite

The lower hull of P-51 becomes one

24 Special Focus


Oil and gas rich Qatar, oneof the richest Gulf States, hasenjoyed global limelight inanother arena recently.Winning internationalpraises for its progress anddevelopment, Qatar hasdemonstrated its risingimportance as a growing hubfor foreign businesses.

Oil accounts for more than30% of Qatar’s GDP, some80% of export earningsand 66% of governmentrevenues.

Although the economy isheavily dependent on oil, the

Strengthening ties with Qatar

Qatar government hasembarked on an economicdiversification programme,based on the country’s vastnatural gas reserves. Qatar isnow the biggest liquefiednatural gas (LNG) producer inthe world.

Many initiatives are beingtaken by the State of Qatarto diversify its sources ofrevenue, broaden itseconomic base andencourage business activitiesacross the various valuechains for a more robusteconomy.

With the rapid developmentof the Mideast countries,basic infrastructure tosupport rapid economicgrowth, especially for waterresources management andwaste management, hasbecome an important focus.Keppelite reports on tworecent developments byKeppel business units inQatar.

DELIVERY OF JACKUPAHEAD OF SCHEDULEKeppel FELS will deliver itsfirst jackup drilling rig aheadof time to Qatar’s nationaldrilling company, Gulf

Drilling International Ltd(GDI).

Built to Keppel’s proprietaryKFELS B Class design, the firstrig is named Al-Khor afterone of Qatar’s historicalcities, which has contributedto the development ofLiquefied Natural Gas (LNG)in the country in recent years.

Mr Lim Boon Heng, Minister,Prime Minister’s Office of theRepublic of Singapore andMr S Al-Shirrawi, Chairmanof the Board of Directors ofGDI and Finance Director ofQatar Petroleum graced the

Ranked the most competitive country in the Arab world by the World Economic Forum, Qatar is a boomtown bustling with activities and business potential

25


occasion of its inaugurationceremony at Keppel FELS inSingapore on 24 November2006.

Minister Lim said, “This eventmarks Keppel’s completionof this premium rig for GulfDrilling International, the firstmajor Singaporean project tobe accomplished successfullyfor Qatar.

“It showcases Singaporeancompanies’ dedication andcommitment to deliverquality products and services.This is significant in furtherstrengthening the warmrelationship that is growingbetween companies inSingapore and Qatar.

“We hope that with GulfDrilling International andKeppel FELS’ sterlingexample, more of ourcompanies from both

countries will be encouragedto engage each other inbusiness.”

Mr Choo Chiau Beng, SeniorED of Keppel Corporationand Chairman/CEO ofKeppel O&M, said, “Keppelis proud to partner GulfDrilling International on itsquest to provide premiumdrilling services to the oil andgas industry in Qatar and theregion.

“The early completion ofAl Khor reflects Keppel’scommitment to play a partin the development of Qatar.It represents Keppel’spromise to deliver highquality products and serviceson time and on budget.”

Al-Khor has been built toGDI’s specifications foroperations in water depths ofup to 300 feet and drilling

FIRST INTEGRATEDWASTE TREATMENTFACILITY ON TRACKKeppel IntegratedEngineering (KIE) is makingsteady progress in itsexecution of the contractthat it secured in October2006 for the Engineering,Procurement andConstruction of the firstintegrated solid wastetreatment facility in theMiddle East at Qatar.

The foundation stone for theIntegrated Domestic SolidWaste Management Centre(DSWMC) was unveiled by DrAbdulrahman Al Buanain,Consultant to the Minister ofMunicipal Affairs andAgriculture and Mr LimChee Onn, ExecutiveChairman of KeppelCorporation, in the presenceof Guest-of-Honour Mr LeeHsien Loong, Prime Ministerof the Republic of Singaporeon 29 November 2006.

The ceremony marked thenext milestone since KIE wasawarded two contractsamounting to QR3.9 billion(about S$1.7 billion) fromQatar’s Ministry of MunicipalAffairs and Agriculture on17 October 2006.

The two contracts, of aboutequal value, are for theEngineering, Procurementand Construction (EPC) of anintegrated solid wastemanagement facility inQatar, and the Operation andMaintenance of this facility

depth of down to 30,000feet. The rig canaccommodate up to 110men and is readilyupgradeable for higherdrilling capabilities in waterdepths of up to 400 feet.

When delivered, it willcontribute to thedevelopment of Qatar’sLiquefied Natural Gas (LNG)industry, as the State strivestowards being the world’slargest exporter of LNG by2012.

Mr Mohammed S Al-Shirrawi, Chairman of theBoard of Directors of GDI,said at the ceremony, “Thisachievement would nothave happened if not withthe high commitment,deliberation and dedicationfrom all parties involved inthis project.”

Continues on page 26...From left – Mr Choo Chiau Beng, Chairman/CEO of Keppel O&M, Minister Lim Boon Heng and Mr S Mohammed Al-Shirrawi, Chairman of theBoard of Directors, Gulf Drilling International inaugurated the jackup drilling rig, Al-Khor


26 Special Focus



for 20 years. The contractswill be undertaken by KeppelSeghers, a wholly-ownedsubsidiary of KIE.

Under the EPC Contract,Keppel Seghers will designand build four Waste TransferStations and one DSWMC tohandle and treat domesticsolid waste for the whole ofQatar.

Designed to treat an initialcapacity of more than 1,550tons of waste a day, theDSWMC will comprise wastesorting and recyclingfacilities, landfill, compostingplant and a 1,000 tons perday Waste-to-Energy (WTE)incineration plant. The WTEplant utilising KeppelSeghers’ water-cooled gratetechnology is the heart of theintegrated waste treatmentfacility.

Other Keppel Seghers’technologies to be deployedin the DSWMC include theDanodrum system forrecycling and pre-treatmentof waste, the RotaryAtomiser semi-dry systemfor flue gas treatment andthe Unibrane membranebioreactor system forwastewater treatment.

The concept of integratedwaste managementsignificantly reduces theamount of waste that is sentto landfill, by reducing theamount of waste tobe incinerated throughcomposting and recycling,thus extending the expectedlife of landfills and reducing

the amount of land thatneeds to be set aside forfuture landfills. In theprocess, useful resourcessuch as fertilisers andelectricity are produced. Thispresents a sustainableapproach to wastemanagement, where theconcept of “waste” is

replaced by the concept ofwaste as a “resource”.

Said KIE CEO Mr ChuaChee Wui, “The QatarGovernment has shown thatthey are very forward-looking and recognise theneed for a world classsustainable environmental

management system thatwill evolve with Qatar’seconomic development.

“Keppel believes in the longterm potential of the Qatarmarket. We are setting up anoffice in Doha to tapopportunities in the MiddleEast.” keppelite

Keppel FELS delivers jackup drilling rig Al Khor ahead of time to Qatar’s national drilling company, Gulf Drilling International


Business 27

Keppel Energy powers upin Ecuador

Supporting the rising power demand in Ecuador, Keppel Energy’s power barges commenced operations on 1 Dec 2006

Ecuador, officially theRepublic of Ecuador, is acountry in northwesternSouth America, boundedby Colombia on the north,by Peru on the east andsouth, and by the PacificOcean on the west.

The country, which alsoincludes the GalapagosIslands, is among the mostbiodiversity-rich countriesin the world.

The capital, Quito, andGuayaquil, the largest city,concentrate both political

Energy in Ecuadorand economic control of thecountry. Ecuador’spopulation of 13 million isgrowing at a rate of 1.4percent per year, and one ofevery four Ecuadorians isbetween 15 and 29 yearsold.

Ecuador straddles theequator and has anarea of 256,370 sq km. ItsGDP per capita for 2005was US$2,761.

Ecuador relies onhydroelectric power plantsfor more than half of the

country’s generationcapacity. With increasingdemand for power, longlead time needed to installthe hydroelectric plantsand the variability ofwater reserve levelsavailable for thehydroelectric plants due toseasonal fluctuations.

Keppel Energy’s powerbarges will be wellpositioned to support therising power demand inEcuador.

Keppel Energy’s 150 MWpower barges havecommenced generation on1 December 2006 in Ecuadorfollowing a successfulredeployment from Brazil.

Termoguayas GenerationS.A. (TGSA), Keppel Energy’swholly-owned subsidiary hadin January 2006 signed a 15-year concession contractwith the National Council ofElectricity to operate inEsclusas, in the southern partof the city of Guayaquil,Ecuador. TGSA will receivecapacity payments inaddition to revenue fromselling the power into thenational grid under acompetitive market.

Dr Ong Tiong Guan, MD ofKeppel Energy said, “This isa significant milestone for us.We believe the deploymentwill enhance the value of ourassets and our entry willmake a meaningfulcontribution in enhancingthe security of power supplyin Ecuador.”

Keppel Energy has a trackrecord of developing andoperating power plants inBrazil, China, Philippines andNicaragua. In Singapore, itssubsidiary Keppel MerlimauCogen is constructing a 500MW cogeneration plant onJurong Island. keppelite

28 Business


When the going gets tough,the tough gets going. Thisaptly describes the tenacityof Keppelites working in theyards to keep Keppel’spromise of on time andon budget deliveries,notwithstanding anunprecedented order book.

In the two months ofNovember and Decemberthis year, six projectsachieved their respectivemilestones of strike steel andkeel laying on schedule.

Adding to the list of

Charting key milestones

milestones attained, threeother projects earned their2 million manhours withoutany loss time incidents (LTI).

Strike steel is the beginningof physical work on a projectafter the initial engineeringphase.

Following the strike steelmilestone is keel laying. It isthe next significant milestoneand is symbolised by theplacement of the first blockof a rig’s hull on keel blocks,marking the start of hullassembly phase.

STRIKE STEELSDeep Driller 6, Discovery Iand Maersk semi no.2 strucksteel, all in a span of twoweeks.

When completed, DeepDriller 6 will be the fourthKFELS Super B class jackuprig Keppel FELS has built forcustomer Sinvest.

Holding a similar ceremonyon the same day, wasDiscovery I, a KFELS B classjackup rig being constructedfor customer DiscoveryDrilling Pte Ltd, a wholly-

owned subsidiary of JindalDrilling & Industries Ltd.Discovery I was the firstIndian contract Keppel FELSsecured.

On 15 December 2006,Maersk semi no. 2 strucksteel. The rig is the secondof three semisubmersiblesKeppel is building forMaersk.

KEEL LAYINGSGlobalSantaFe’s (GSF) DSS 51semisubmersible rig laid keelon 25 November 2006followed by Diamond

Expert project execution is key in ensuring milestones are achieved as scheduled and projects are delivered on time, amidst a bustling yard

Business 29


Offshore’s Ocean Shieldand Awilco’s WilBoss, on5 December 2006.

On achieving this milestone,Mr Pete England, Awilco’sProject Manager for WilBosscommended, “This is aremarkable achievementconsidering the everincreasing pressure of today’srig building programmes.

With longer lead timesrequired to receive variousequipment for the rig, it ismore difficult to deliver thenecessary milestones ontime.

“Congratulations to theKeppel FELS team who madeit happen despite the odds.”

Sharing the same sentiments

is Mr Bob McKechnie, GSF’sProject Director for DSS 51semisubmersible. He said,“From the project outset,Keppel FELS hasdemonstrated their ability tomaximise yard capacity andkeep progress on trackdespite the huge workloadthat is presently underway inthe yard.

“Together with Keppel FELS,we have worked hard toachieve a single teamapproach and share acommon alignment to theproject. This is what gives usthe confidence to say thatthe outcome of the projectwill be a success.”

SAFETY AWARDSTestament to Keppel’scommitment to safety

excellence are the threesafety awards that werepresented to various projects.

Maersk semi no.1 andMaersk jackup no.1 eachreceived an award for twomillion manhours withoutLTI. These two millionmanhours came shortly afterthey each achieved its firstmillion in September thisyear.

Mr Kaj Kristensen, SeniorGM, Maersk Contractorssaid, “Keppel FELS took upthe challenge of beingcommitted to safety and issuccessful in doing so in itsyards worldwide. You havemanaged to achieve a totalof four million manhourswithout any LTI on twoprojects. Well done!”

Also achieving two millionmanhours without LTI isWest Prospero, for customerSeaDrill.

As the project moves into itsfinal phases of construction,SeaDrill Project ManagerMr John McMullen urgedeveryone to stay vigilant andkeep safety top prioritydespite the heavy workload.

He said, “It is not an easything to maintain high safetystandards when we aremoving at a pace like this.Moving into the final phaseof the project, we must takecare and the time to stepback and observe safetydespite the pressures ofdelivering on time.” keppelite

Project teams of Keppel FELS and Discovery Drilling place flowers on Discovery I’s steel plate to herald blessings for a smooth project

30 Business


GOOD SAFETY, GOODBUSINESSA global business requiresa world-class safety culture.

This message wasemphasised at theworkshop, “Creating asafety culture” held for theboard of directors, seniormanagement personnel andsafety managers across theKeppel Group.

The seminar was initiated byKeppel Corporation’s BoardSafety Committee, and

Making safety topsSafety first is a key practice across the Keppel Group. We strive for all our people– staff, partners, customers, vendors and contractors – to go home safe and soundeveryday.

conducted by externalconsultant, DuPont, which isreputed for their safetyculture and rigoroustraining.

For DuPont, their motto isgood safety equals goodbusiness as they engage intheir day-to-day business.

In their experience, theyfound out that up to 96%of process and personalaccidents and injuries arecaused by unsafe acts andbehaviours and not byconditions and equipment.

They shared how theyfocused on preventive bestpractices and proventechnologies to protectpeople, property, operationsand the environment.

The DuPont trainersmethodically drilled down ondifferent levels of safetyconsciousness, beginningby igniting each participant’spassion for a safety cultureto couraging all to take uptheir parts in the culturechange.

Taking participants on a

journey to a safety culture,they showed our humaninstinct for safety anddemonstrated how we canmove on from there tobecome an interdependentteam, each caring for other’ssafety.

At the end of the workshop,Executive Chairman ofKeppel Corporation, Mr LimChee Onn, who participatedin the full day’s programme,said that he had puthimself on the SafetyBoard Committee, whichunderscored the importancehe placed on developing asafety culture across theGroup.

Expressing his appreciationof the trainers, he said, “Theideas and contents sharedwith us showed that muchthought had been put intothem. You have prompted usto think deeper on what wecan do for safety.

“You have helped usunderstand what our role isas individuals, and as acollection what it means tocultivate a safety culture.

“We shall be relentless inpromoting the culture ofsafety. We will do whateverit takes to implement safetyregulations.”

DuPont trainer roped in for workshop, “Creating a Safety Culture”

Business 31


SAFETY BENCHMARKSBY KEPPEL YARDSA safe and healthyworkplace translates intogood and profitablebusiness.

Mr Lee Tzu Yang, Chairmanof the Workplace Safety andHealth Advisory Committee(WSHAC) shared this at theinaugural WSH Awardsceremony on 24 November2006.

The annual event, co-organised by the Ministry ofManpower and WSHAC,gives recognition tocompanies that haveachieved excellent WSHperformances through soundand effective managementof WSH issues at theirworkplaces.

This year, 133 companiesfrom major industry sectors,including oil and gas,construction, manufacturingand academia werehonoured. Dr Ng Eng Hen,Minister for Manpower andSecond Minister for Defence,graced the ceremony, aptlythemed ‘Celebrating theBest’.

At the ceremony, Keppelbagged seven of nine Silverawards in the Marinecategory. The awards are for:• Keppel FELS – TPG 500

(Production rig)• Keppel Shipyard (Tuas) – FPSO

Berge Helene (FPSO conversion)• Keppel Singmarine –

SMIT Nicobar (AHTS)• Keppel Singmarine –

HADI 20 (AHTS)• Keppel Singmarine –

Maju Star (Tugboat)

For the Keppel O&M project teams (top) and Juggernaut (bottom), it’s Can Do! to safety

• Keppel Singmarine –Maju Sun (Tugboat)

• Keppel Singmarine –Bourbon Astyanax (AHTS)

Congratulating the awardrecipients, Dr Ng encouragedcompanies to remain vigilant.He said that each accident ordeath is preventable, andthat the safety mindset needsto be inculcated in everyemployee and worker.

Indeed, safety tops theagenda at Keppel Offshore &Marine (Keppel O&M), asMD/COO Mr Tong ChongHeong shared, “We wanteveryone who comes towork to go home safe.Fatality is a waste ofresources. That’s why we aimfor zero accidents, zero loss.”

In the last 10 years, safetystandards at Keppel O&M

have improved significantly. Atend-2005, its Singaporeshipyards recorded a 10-yearlow of 1.62 and 39 in accidentfrequency and severity ratesrespectively. This was lowerthan the industry rates of 2.8and 175 respectively. Theserates measure reportedaccidents per one millionmanhours worked.


32 Business


Keppel Seghers commits to eliminating risks for a safer workplace

Organised in conjunctionwith the ceremony was theInnovation for OccupationalSafety & Health Awards,which encourages thedevelopment of creativeideas that help improveworkplace safety and health.

Juggernaut, from theElectrical division of KeppelShipyard (Gul), wasrecognised for theirinnovation, ‘ElectricalContinuity & Polarity Test’.

STYLE AND SAFETY ATURBANAKeppel Land’s citycondominium in the River

Valley district, Urbana, wasalso recognised for itsexemplary standards ofworkplace safety at the WSHAwards 2006.

Urbana’s appointedconstruction firm, Poh LianConstruction, was presentedwith the ASHPA (Silver) forhaving achievedcommendable safetyperformance througheffective safety and healthmanagement processes.

Lee Kia Young, Keppel Land’sProject Manager for Urbanasaid, “I am proud of theexcellent efforts put in by the

project team on safetymanagement, which haveenabled us to achieve thisaward.”

ANOTHER SAFETYMILESTONE FOR ULUPANDAN NEWATERKeppel Seghers EngineeringSingapore (KSES) recentlycelebrated the achievementof a significant safetymilestone – half millionaccident free manhours onthe Ulu Pandan NewaterDBOO project from Januaryto September 2006.

This is the third safetymilestone for KSES in 2006since the safety campaignwas launched in January2006, with the Kallang-PayaLebar Expressway project inAugust 2006 being the firstmilestone, followed by theChangi Water ReclamationPlant project in October2006.

Mr Soh Chee Keong, EDof Keppel IntegratedEngineering (KIE), andMr Moh Wung Hee, Directorof Best Sourcing DepartmentStyle and safety go hand in hand in development of Urbana


from PUB were present at theevent.

Mr Soh emphasised theimportance of upholding thesafety culture in thecompany, “We intend to dothis by continuously raisingour Environmental Health &Safety standards and strivingto move from just safetycompliance to instilling safetyculture that will be embracedby every member of ourteam and subcontractors.”

Mr Moh commended KSES’efforts in promoting safetyculture, “Safety is importantfor a smooth project deliveryand this is only possible wheneveryone takes ownership oftheir safety. It is hearteningto see that Keppel has donean excellent job.”

Further to the good news,the project has obtained theTemporary OccupationalPermit (TOP) in October 2006with a zero fatal accidentrecord. A number of awardswere also presented tosubcontractors and workersfor being safety conscious.keppelite

Business 33


Keppel Logistics (Foshan)Limited (KLF) has beenrecognised as the Best ThirdParty Logistics (3PL) SupplyChain Provider in China.

For more than 10 years ofdedication and excellencein providing full-fledgedintegrated supply chainservices, satisfied customerOsram China Lighting(Osram) nominated KLF forthe 2006 CHaINA Awards,organised by the ChinaSupply Chain Council(CSCC).

Receiving the Award, KLF’s

Best 3PL Supply Chain Providerin China

GM Mr Au Yong Kong Sengsaid, “This Award affirmsKLF’s commitment indeveloping and deliveringsupply chain solutions andservices in China.

“It also reflects the soundand successful partnershipbetween KLF and Osram,who has demonstrated fullconfidence in us for theirsupply chain needs. We arehonoured by this nominationby Osram.”

Mr Vincent Ko, Chairman &CEO of KLF, added, “3PL isdeveloping into another core

business for KLF in additionto port operation and freightforwarding. We will keepimproving to be a one-stoplogistics solution for ourcustomers.”

CSCC aims to promote andgrow supply chainmanagement in China tomeet the evolving and fastgrowing needs of multi-national corporations. Byidentifying and rewardingoutstanding performanceamong leadingmanufacturers, retailers,service providers and supplychain practitioners operating

in China, CSCC hopes toraise the standards of supplychain management in China.

Held at the Regent Shanghaion 9 November 2006, over130 supply chain andlogistics professionalsgathered at the prestigiousawards ceremony to toastthe five outstanding winners.

The winners are selected byan independent panel ofjudges comprising of China’sleading supply chain industryexperts. keppelite

Atwood Beacon wasworking off the coasts ofIndonesia when one of itslegs penetrated the seabed,also known as a “punchthrough”. The incidentcaused some damage to thelegs, sending the rig back toKeppel FELS’ yard for repairand upgrading, whichincluded the lengthening ofher legs.

Due to her workcommitments and schedule,Atwood Beacon was unableto arrive at the yard on timefor her repairs. The heavy

The Beacon stands tallduty crane, Asian Hercules II,was scheduled for serviceelsewhere by the time shearrived.

With the main equipmentabsent and the client’s jackuprig already in the dock,project engineers at KeppelFELS had to come up with asolution to overcome thisproblem in quick time.

Unlike the usual practicewhich involves docking thejackup rig by the yard sideand using the crane toenable repair works, the

Keppel FELS team located anideal spot off the coast ofChangi, where water depthreached at least below 25m.This depth was sufficient forthe rig to be spudded forrepair works to be carriedout.

Despite the challenges ofcarrying out the requiredworks this way, Keppel FELSmanaged to complete thejob within days. As a resultof Keppel FELS’ commitmentto customer service,Atwood Beacon was readyfor work again.

Mr S. Jayakumar, GM ofMarketing, Keppel FELS,shared, “We have alwaysplaced servicing ourcustomers as one of our mostimportant priorities. We takeour customer’s problem asours as well.”

One word sums it all whenProject Manager of AtwoodBeacon, Mr NigelRichardson, describedKeppel FELS’ service with asmile, “Excellent!” keppelite

34 Business


OUTBREAK!It was the afternoon of5 December 2006 that‘suspect avian flu cases’ werereported to the PandemicPreparedness Committee atKeppel Corporation.

Members of the Committeeimmediately swung intoaction by sending out alertsmessages through emailsand SMS, putting on theirpersonal protection gear,isolating the suspect casesand carrying out contacttracing of persons who mayhave come into contact withthe infected persons.

Staff in Keppel Corporationheadquarters were alsoadvised to don their masks,

Pandemic readyRigorous about its business continuity plans to ensure that it’s business as usualeven in an avian flu pandemic outbreak,Keppel Corporation successfullyconducted a pandemic simulation exercise on 5 – 6 December 2006.

increase social distance andrecord their temperaturetwice a day.

By evening, as the alert stagewas upgraded to Black, staffwere advised to work fromhome the following day.

READINESS ON THE GOThe exercise was aimed atfamiliarising staff with thevarious alert stages andprecautionary actions to betaken, and to test out theprocesses for carrying outeach department’s criticalfunctions when workingaway from office.

A series of staff briefingsessions was conducted sinceAugust to educate

THUMBS UP“The test run helped inensuring we will beoperationally and mentallyready to work from homeshould a situation arise.”Eileen KohAuditor, Group RiskManagement & Audit

“It is good to get everyonefamiliar with the necessaryprocedures so that everyoneis clear on what they need todo and not panic in theactual event of a pandemicalert.”Seraphina HoExecutive, Group IT

“This practice session putwords into action. With this,everyone in the office will beable to react better and fastershould a pandemic hit us.I look forward to the nextexercise to see how we cando better !”Wong Siew HueyAuditor, Group RiskManagement & Audit

“I find that this is an excellentexercise and feel assured thatwe are able to worksmoothly from home in theevent of a pandemic orcrisis.”Ting Pi YenCorporate SecretarialExecutive, Group Legal

Keppelites on the PandemicResponse Plan. In addition,each department establishedits call tree and buddysystem, drew up test plans,and installed necessaryequipment in the homes ofstaff in preparation for thework-from-home scenario.

Said Teo Chang Ching, SeniorExecutive at Keppel GroupCorporate Communications,a member of the PandemicPreparedness Committee,“This exercise is an excellentopportunity for alldepartments to put to testwhat they have drawn up onpaper, identify gaps in theirprocesses and come up withmitigating actions, so that wewill be able to continuecarrying out our variousfunctions with minimaldisruption in the event of anoutbreak.

“It is indeed heartening tosee colleagues in Keppel HQtaking this exercise seriously.Through this exercise andother educational efforts, wewill all have a betterunderstanding of what avianflu is and know what to doin an outbreak. Lessonslearned during this exercisewill be shared so that ourlevel of readiness is furtherenhanced.”

Equipped for emergencies to ensure business continuity

Business 35


Over at Keppel Offshore &Marine (Keppel O&M),three pandemic flusimulation exercises in itsyards in Singapore and thePhilippines have beenconducted in less than twomonths.

Keppel FELS rolled outthe first exercise on29 September 2006 atPioneer Yard with success,and was soon followed byKeppel Shipyard andKeppel Singmarine atBenoi Yard on 3 November2006.

In the Philippines, KeppelCebu Shipyard conductedits Avian Flu simulationexercise on 28 November

2006 with the fullparticipation and support ofmore than 220 workers,subcontractors andmanagement staff.

Prior to the drill, pre-exercisereadiness checks wereconducted to increaseemployees’ awareness onthe disease. These includedbriefings to review thenecessary procedures,information campaigns aswell as bulletins on the drillprocedures.

On the actual day, workersfound to have temperaturesof above 38 degrees Celsiuswere immediately isolated ina designated hot zone nearthe yard gates, where they

Keppel units join in the flu fight“It was a good exercise tohelp employees be aware ofthe necessary businesscontinuity procedures andtheir roles and responsibilitiesin the company’s pandemicflu response plan. ”Suam Chee KitManager, Group RiskManagement

“Too often, we take theroutine processes andprocedures that we gothrough each day forgranted. When unexpectedscenarios hit us, we may bejarred and unable to reactappropriately. The exercisewas important to let staffmentally and physically carryout the measures for thevarious levels of alerts. Onlyby going through themwould we be able to identifyand address the gaps toaugment the plan further.”Agatha GohSenior Executive,Group Human Resource

“This was a goodopportunity for us to test-runour Department’s BCPplan. With the experienceaccumulated from the trials,we are now better able tofine tune the details andbe better prepared,hopefully, to respond swiftlyand efficiently shouldemergencies call for it infuture.”Terence WeeAccountant,Group Control & Accounts

had to fill in healthdeclaration forms.

The workers weres u b s e q u e n t l yaccompanied by securityguards to the yard’s clinicfor further medicalcheckups. A standbycompany vehicle stoodready to ferry suspectedcases to the hospital forfurther laboratory tests.

From feedback collectedsubsequently, employeesare now more aware of thepreventive measures onthe Avian Flu, and theyhave learned how toprevent the spread of thevirus with this exercise.

Keppel Cebu Shipyard staff take the simulation exercises seriously

36 Business


With effect from 1 December2 0 0 6 , I n f o c o m mDevelopment Authority ofSingapore (IDA) has madewireless connectivityavailable via wirelesshotspots in selected publicareas in Singapore. Theservice will be free untilDecember 2009.

Wireless with iCELLKeppel Telecommunications& Transportation is pleasedto work with iCELL Networks, one of the three operatorsselected by IDA, to rollout public broadband zonesin Singapore in tandem withthe nation-wide wirelessbroadband initiative,Wireless@SG.

With a registered freeroaming account with iCELL,users will be able to roamwithin any of Wireless@SG’scoverage areas, regardless ofthe operators’ network.

Visit www.icellnetwork.comto begin your wirelesslifestyle today. keppelite

To improve security at theirservice centres andworkshops, optimiseresource use, and ultimatelyraise operational efficiency –Borneo Motors has chosen topartner with TradeOne Asia(TradeOne).

TradeOne, together withKeppel Logistics and otherconsortium members, hasbeen appointed to augmentBorneo Motors’ operationsand management of theirservice centres andworkshops.

Mr Trevor Fong, GM ofTradeOne said, “Thislandmark project forTradeOne validates ourinvestment in RadioFrequency Identification

Borneo Motors gears up withTradeOne Asia

(RFID) technology, Service-Oriented Architecture andResource Optimisationtechnologies and signals themainstream acceptance oftheir use. We are very happyto leverage Keppel Logistics’RFID expertise to providevalue for Borneo Motors.”

The entire projectinvolves the study andimplementation of businessprocess re-engineering andsystem re-design, as well as,the innovative application ofRFID.

It also involves raisingservice levels and resourceoptimisation through theimplementation of the JobControl System. The Systemallows Borneo Motors to

have real time job trackingand tracing of each case.

With this system, BorneoMotors expects to increasesecurity at their servicecentres and workshops,manage their inventory andworkflow better throughmore effective tracking of thephysical location of cars andincrease efficiency throughbetter visibility of theirworkflow and jobs.

But going beyond justproviding a service, TradeOnewas able to demonstratetheir keen understanding ofthe Japanese philosophy ofmanagement and delivervalue. Staying true to theJapanese managementphilosophy of Kaizen,

TradeOne was able torevolutionise Toyota’s KanBan or continuous flowmanufacturing strategy tothe next level.

Mr Fong added, “To trulydeliver value to our clients,we have to understand thecompany’s culture andmanagement philosophy.We are honored to be apartner in this landmarkproject.”

Combined with TradeOne’sadvance planning andscheduling solution, the JobControl System is able toincrease the throughput ofthe workshop. This allowsBorneo Motors be morecompetitive against the otherthird party service providers.keppelite

Wireless connectivity for mobile internetusers with iCELL

Business 37


Fang Hongan is so deepinto the mystery of thereappearance of his lost loveof 10 years that it completelyslipped him to execute amajor change during theconstruction of a jackup rig.

Thankfully, coming to therescue of this talented andusually gung-ho seniorproject manager is a team offiercely loyal colleagues, andtogether with their Can Do!spirit, they overcome all oddsand deliver.

Before you go looking forHongan in our yards, STOPas this is not real life but reellife as depicted in “ThePeak”, one of the mostexciting and biggest dramaserials being produced byMediaCorp Studios.

And Hongan is played bynone other than swoon-worthy Christopher Lee whotypifies the modern YangGuo, hero of the famousnovel, “Return of the CondorHeroes”. Incidentally,Hongan’s hair also turnswhite in the story and notsurprisingly, Christopher stilllooks good with bleachedhair!

Hongan’s undying devotionto his first and only love,Shuang Hui, would not allowhim take another womaninto his heart, whether it ishis vivacious assistant CaiZhen Ya (played by Dawn

Catch the reel story

Yeoh) or his alluring wife-in-name only, Xiu Ping (playedby Ann Kok).

Is the sudden appearanceand disappearance ofShuang Hui a figment ofHongan’s imagination?Which lady love will Honganchoose in the end ? How willHongan get himself back ontrack for his other passion –his work in the yard?

To find out, you will have tocatch “The Peak” overChannel 8 at 9 pm starting8 January 2007 and holdyour breath for the cliff-hanging last episode.

This Mandarin TV drama of

bittersweet romance,friendship and passionatepursuit is against thebackdrop of the dynamic andglobal arena of the offshoreand marine industry.

Set primarily in Keppel FELSin Singapore, the span of thisserial reaches to thepicturesque Keppel FELSBrasil in Angra dos Reis, Riode Janeiro, Brazil, and has amultinational cast from thetwo Americas, Middle East,Europe, and of course, Asia.

Drama aside, the uninitiatedto the industry will gain agood insight into depth andscope of the offshore, marineand maritime industry and

what makes Singaporebecome the world’s numberone rigbuilder.

The TV serial is commissionedby leading stakeholders ofthe offshore, marine andmaritime industry includingthe Maritime and PortAuthority of Singapore(MPA), the SingaporeMaritime Foundation (SMF),Association of SingaporeMarine Industries (ASMI) andKeppel Offshore & Marine(Keppel O&M). Othersponsors include WorkforceDevelopment Agency, NatOilVarco, Wartsila, theAmerican Bureau of Shippingand NHM. keppelite

38 Team


Fair winds, friendly watersand a fastidious team ofmarine masters to guide yousafely into Nongsa PointMarina (NPM) – all thumbswere up to Francis Olsen,Marina Manager of NPM andthe team from Marina @Keppel Bay who successfullyorganised the boating eventTour de Kepri over theweekend of 24 – 26November 2006.

Spearheaded by the Tourism,Art and Culture Office of theRiau Island Province headedby Dr H. Robert Iwan Loriauxand supported by theGovernor Dr IsmethAbdullah, the event saw anencouraging turnout ofsome 140 people, onboard31 power and sailing vessels.

They had set sail variouslyfrom SAF Yacht Club, ChangiSailing Club, PunggolMarina, Republic ofSingapore Yacht Club andRaffles Marina. Some ofparticipants were boatersfrom Malaysia who were onvisit to Singapore.

The cruise gave the boatersa chance to experience thebeautiful and unblemishedsights of the islands, themain city of Tanjungpinang,and the richly historical siteson Penyengat Island. Moreimportantly, the boaterswere made to feel at home

Nongsa Point Marina scoreswith boaters

and discover how safe andeasy it is to cruise throughthe Riau Straits.

The itinerary was spread overthree days, starting with asumptuous welcome dinnerspread on the first night. Asafety briefing was thenconducted for all skippersand their assistants to ensureall boaters knew the route,programme as well as safetyprocedures.

The troop of power andsailing vessels set off for thevisit of Tanjungpinang atdawn the next day. Once inport, the vessels anchoredand were provided lunchbefore being transported by“punchung” (small poweredvessels used by the locals) toPenyengat Island to visit herhistorical sites.

On the cruise back to Batamthe next morning, the Lee

family, onboard theirpowerboat, a SeaswirlCordova 230, met withsome engine problems.Fortunately, the rescue boatwas close by to lend them ahelping hand. Tied to therescue boat by ropes, theLees’ boat was towed adistance until they managedto repair the problem.

“I think the effort put in byNPM to organise this eventis very commendable. Theyhave taken every trouble tomake this an enjoyable andmemorable trip for theboaters and also ensure oursafety at every stage. We arehappy to know that we aretaken care of. We certainlylook forward to participatingin more of such events infuture organised by NPM,”said Ms Magdalene Chua,who was on the trip with herhusband Mr David Lee andtheir son.

Thong Meng from Marina @ Keppel Bayhelmed the safety boat which offeredassistance to all boaters on the trip

Boaters having a splash on land with good wine and spirits!

Indeed, many are alreadylooking forward to their nexttrip, expected to beorganised in June next year!keppelite

38 Team

Team 39


Throw, shoot, jump, dance,or simply cheer. Sports notonly improves one’s healthand well-being, but alsobrings people together andfosters teamwork. We takea look at how someKeppelites have fun withfitness.

FUN AT SPORTS FESTIVALIt was as though a rainbowhad painted the yard overat Keppel Batangas, awelcoming sight from theirusual white, red or bluecoveralls, as a week-longSports Festival wascelebrated in the yard.

At the opening of thefestival, team captains ledtheir respective teams in aparade while colleaguesand friends cheered themon. All sections of theyard, from accounting

Moving to the Keppel beatto shipwrights, wererepresented in the games.

“Our people have all beenworking very hard, especiallywith the offshore oil rig andshipbuilding projects. Thesports festival is a welcomebreak that allows us to enjoyone another’s company andpromote camaraderiebetween Keppelites,” saidMr Kok Boon Heng,President of Keppel BatangasShipyard, as he officiated theopening ceremony.

HR and AdministrationManager, Carlos S. Patacsil,added, “Everyone had somuch fun! This is the timewhen Keppelites trade theirwork tools and computersfor rackets and balls. It wasalso a good opportunity forthem to interact and meetother people in theorganisation.”

PUMPED FOR ACTIONSynchronised movements,pounding music and tonedmuscles. While most peoplewere still asleep, 3200employees from Keppel FELStogether with some of thesub-contractors gathered inDecember for the annualKeppel FELS Active Day.

Standing on three differentplatforms around thecarpark, four fitness trainersfrom FreeFite led theparticipants in heart-pounding aerobics.

For Keppel FELS’ AdminOfficer, Betty Mok, this is thefourth time she isparticipating in the KeppelFELS’ Active Day. “This year’sActive Day is slightly differentbecause there are two extrastages for the trainers to leadthe crowd,” said Betty.“Being ‘part of the crowd’

increases the interactivitybetween the participants andthe trainers,” she added.

Mr S. Jayakumar, GM(Marketing), Keppel FELScommended that the annualActive Day at Keppel FELS isone activity that has helpedto bring everyone togetherand strengthened thebonding between theemployees and theirsuperiors.

At the end of the event, staffwere so pumped for morethat they were alreadythinking of how to getACTIVE next year. “It mightbe good if we can do linedancing or have a sportscarnival during Active Day,”said James Chia, MarketingExecutive, Keppel FELS.“That would help us shedmore weight and have fun atthe same time.” keppelite

Belles of Keppel Batangas parading in colourful gear to cheer their teams on

Perfect work-life balance for good health

40 People


40 People

Anything your heart desires,as long as it was no morethan $1500 for the first prize,$1000 for the second prizeand $500 for the third.

With bated breath andunconcealed anticipation,the over 100 staff at KeppelCorporation kept theirunwavering eyes and hopesfixed on Executive ChairmanMr Lim Chee Onn’s hands ashe reached into the luckydraw box to pick wishes forthe winners.

Santa visits HQAnd the winner of a $1500Best Denki voucher wentto… Ethan Ong, AssistantManager of Group Audit!The second and third prizewinners were Doreen Yu,Corporate SecretarialExecutive of Group Legal andSally Teo, Group AccountsAssistant, respectively.

A delighted Doreen said, “Ihave never won anything inlucky draws before so I wasvery surprised to win thesecond prize. I will share thevoucher with my husband

whom I think will have gooduse of the $1000 Best Denkivoucher since he is in theIT line.”

Sally, who was cheered on byenvious colleagues as it wasannounced that she won a$500 Isetan shoppingvoucher, said later, “I am veryhappy to have won but Iwon’t spend all the voucherson myself. I intend to shareit with my family!”

That’s the sharing spirit ofChristmas! Indeed, at theend of the day, everyone wasa winner, as shoppingvouchers and party packswere given to all. Andeveryone ate to their heart’scontent with a sumptuousbuffet lunch spread.

Apart from those of theWishing Tree, Keppelites atthe party were treated toanother special gift – waxreplicas of their very ownhands! Just by dipping theirbare hands into a pot ofwarmed liquid wax, andthen allowing the wax tocool and painted, a“handsome” souvenir wastheirs to take home after theChristmas lunch.

Agatha Goh, Senior GroupHR Executive, who was theemcee of the event and partof the committee which

organised this year’sChristmas celebrations,shared, “We wanted thisyear’s party to have anexciting element, and toengage as many staff aspossible. By having themwish for whatever theywanted up to the stipulatedamount, we were able to geteveryone interested toparticipate and to have a funtime.

“The most important thingfor the committee was to getall staff to enjoy themselvesand provide them anopportunity during thisfestive season to interactwith their colleagues fromother departments as well.”keppelite

Always hands on is Keppel Corporation Executive Chairman Mr Lim Chee Onn!

Santa drops in with gifts, much to GroupCorporate CommunicationsExecutive Ang Lai Lee’s delight

People 41


As we look forward toanother exciting year ahead,Keppelites share some of thegoals they have set forthemselves:

“Marking my 10th year inKeppel, 2007 makes mepause and think ‘what’snext?’ Personally, 2006 hasbeen a great milestone forme since joining Keppel aftergraduation. So I hope toachieve more in work and toalso pick up a new skill forpersonal development.”Agatha GohSenior HR & Admin Executive,Keppel Corporation

“Safety first! My goal for thecompany is to achieve zeroaccidents for all local andoverseas business units.”Chan Kim YamEnvironmental Health &Safety Manager,Keppel Seghers

“Striking a better balancebetween work and play isdefinitely on ‘To Do’ list for2007, so that I invest moretime in the things I enjoydoing. I also promised mybest friend that we wouldvisit Canada this coming year.And I would love to be ableto do a couple of dive tripstoo!”Sylvia SeahMarketing Executive,Keppel FELS

Mission 007

“On a personal level, Iplan to manage myschedule so that I amable to spend more timewith my two boys.”Melvin NewService / LeasingManager,Keppel FELS Cranes

“Being healthy and fit is veryimportant. Even though thisis going to be an uphill task,I will continue to put ‘losingweight’ on the top of myresolutions’ list.”Alan NgSenior Property Manager,Keppel Land

“Although still young in myworking career, the past yearhas been exciting for me interms of growth anddevelopment. I need to starttraining competitively for thenext shooting event andhopefully qualify in the nextmajor games. Therefore, thechallenge for me is to workhard, train smart and behappy achieving my goals inboth!”Wong XinyiMarketing Executive,Keppel FELS

“I hope to break somenew grounds, visit atleast two new countries,and improve my fitnessso I can run five kmwithout stopping!”Cindy AwHR Assistant Manager,Keppel T&T

“My wishes for the Companyare higher profits in the yearsto come and that colleaguesgel together and becomeeven more united, while notforgetting to spend more

quality time with theirfamilies.”Jeanie LimReceptionist,Keppel Corporation

“Weight control is mybiggest problem as I have adesk bound job and live asedentary lifestyle. My wishfor 2007 is to stay healthyand shed the ‘extras’ in allthe wrong areas of my body.I resolve to live a healthylifestyle and stop makingexcuses of not having timeto exercise. I will do someform of exercise at least threetimes a week and have amuch healthier diet.”Susan SitoeHR / Corporate AdminManager,Evergro Properties Limited

“Strike lottery and travelaround the world withmy wife to be! But firstto save enough for ahoneymoon to Japan!”Melvin ChanNetwork and UserSupport Administrator,Keppel Corporation

Melvin New

Alan Ng

Cindy Aw

Melvin Chan

42 People


Make a wish, but better still,make a will. You can morecertainly depend on the latterto take care of your family indeath or disability.

“Most people believe it’simportant to write a will, butthey do not feel a sense ofurgency or impetus toactually get it done.Moreover, many harbourmisconceptions such as thatwill-writing is only necessaryfor the rich,” said Ms MonicaTan, a financial consultantwho shared with Keppelitesthe importance of will-writing and estate planning.

Organised by the Keppel

WillpowerWellness Committee on23 November 2006, theseminar on will writing waspart of HR efforts tosafeguard and enhanceemployees’ welfare.

For many, it was a goodreminder to seriouslyconsider their families’ needsand to plan early. Manymisunderstandings were alsocleared.

Did you know that you donot have to engage a lawyerto write a will? And althoughwitnesses are present towitness the signing of a will,they do not have to know thecontents of the will?

The enlightening one-hourtalk certainly cleared the airand persuaded many to geta will done after the talk.

Manager of Keppel GroupStrategic Development Foo

Chih Chi was convinced ofthe benefits and wantedmore, “The talk was veryuseful, but will be better tohave a second session asthere were too many topicsto cover in an hour.” keppelite

Learning to wield the power of the will

“Enjoy your success for fiveminutes, endure your failurefor five minutes, then moveon.” This sound advice wasgiven by Mr Khoo SweeChiow to Keppelites whogathered specially at themulti-purpose hall of KeppelShipyard (Tuas) to listen tothe famous Singaporeanadventurer.

The man, whose accoladesinclude being the fourthperson in the world tocomplete the AdventureGrand Slam of conqueringthe South Pole, the North

Challenge to scale new heightsPole and the Seven Summitswas speaking at KeppelShipyard during a trainingsession.

Much inspired by the talk,Vincent Yip, AssistantManager, Health, Safety andEnvironment (Operations),Keppel Shipyard said, “In life,some people becomecomplacent and prideful oftheir successes, while someare unable to move out fromthe shadows of a failure.There is no fear in failingwhen you can learn from itand move on.“

This and other importantlessons in life were impartedby Mr Khoo as he sharedhow good planning,teamwork and innovativeimprovisations helped himsurvive the hostility ofextreme living conditionsduring his adventures.

Kwok Sui Hong, AssistantTraining Mananger of KeppelShipyard and organiser of theevent said, “This talk sharesreal life experiences thathighlight our core valuessuch as the ‘Can Do’ spirit. Ibelieve it can help us

rediscover our passion forour unique jobs and motivateus to embrace our corevalues in our daily work.“

Drawing parallels betweenKeppelites and Mr Khoo,Keith Teo, Senior ProjectManager at Keppel FELS said,“The challenges are real, beit in adventure or at ourworkplace, but what is mostimportant is how we strike abalance between our mentaland physical strength tobring us towards selfactualisation.” keppelite

People 43


Keppelites Abroad

“‘Vietnam is one of thehighest growth countries inAsia and they need tourgently develop theirinfrastructure due to thedemands for housing andconsumerism from thegrowing number of youngand middle classpopulation.”

– Business Times, 12 Oct 2006

For many, Vietnam’s amazinggrowth is a statistic or areport in the news, but forGladys Ng, Head ofMarketing for Saigon Rivieraat Ho Chi Minh City (HCMC),it is a reality everyday. Shelanded herself in the heart ofHCMC three years ago whenshe applied to Keppel Land.

She was initially hesitantas she was the solebreadwinner of her family.But the opportunity foradventure and challenge wasjust too hard to resist.

When she first arrived atHCMC, she knew that shehad to understand the localculture, values, people andmindset very quickly. Gladyssaid, “You need to knowwhat makes them tick. To doso, I spoke to everybody Imet! I took the effort tospeak to my hairdresser, theoffice cleaners, my masseuse,

Glad is she in Vietnammy Vietnamese teacher, ourlocal staff – everyone.”

Her eagerness becomesapparent when one realisesthat Gladys overseesmarketing for Keppel Land’sproperties, Villa Riviera andSaigon Sports City. On a day-to-day basis, she meetsprospective buyers andmarkets directly to them. Injust three years, she haswitnessed dramatic change,not just in the cityscape butthe people of Vietnam.

She said, “Buyers today aremore savvy and cautiousthan they were years ago sowe really have to take thetime and effort to sit downwith them and explain tothem legal paperwork andprocedures.”

One of the challenges shefaced initially was motivatingstaff and getting the localsto accept the Singaporeanstyle of working. Gladys said,“I empower my staff tomake decisions, which is tosay that I allow them to makemistakes. Making decisionsor recommendations meansthey are engaged, involvedand interested in theprocess. If they makemistakes, it is a learningopportunity to find out

what went wrong andto share that learningexperience with others.”

Recalling an incident, Gladysemphasised the importanceof leading by example,“During the Villa Rivierashow flat launch, I repeatedlyreminded my staff to prepareslippers for our guests tochange into when theyentered the show flat. I alsotold them to arrange theslippers neatly. When theydidn’t do what I told themto do, I did it myself.That really surprisedand embarrassed them.Afterwards they followedsuit. You need to set anexample as a leader for yourstaff to earn their respect.”

Looking back, Gladys has thisto say about her experiencethus far, “In an overseasassignment, you arechallenged to take on amanagement position whichcan give you moresatisfaction. You have moreauthority to shape thebusiness. I never knew mytrue potential until I camehere! I never knew mysurvival instincts and skillswere so strong!

“I also realised that I am noteasily deterred by challenges,when I know that somethingneeds to be done, I just goahead and do it.”

Glad tidings to strongwomen heading forVietnam. keppelite

Blooming appreciation for Gladys Ng from her staff in Ho Chi Minh City

44 Community


44 Community

NEW LEASE IN YELLOWYellow brightens up aperson’s day. It could nothave been more true for theinmates at Changi Prison(Cluster A) who were giventhe chance for a new leaseof life at the third YellowRibbon Job Fair, held on1 November 2006.

They were invited to fill outjob application forms forpositions available in variouscompanies. Keppel O&M hasbeen a regular participant ofthe Fair since 2004.

Brightening community coloursKeppel Offshore & Marine (Keppel O&M) has throughout the years supportedvarious local community programmes, ranging from education and thearts,charities to technological improvements and international trade promotion.In recent months, Keppel O&M has brightened many lives in Singapore throughsupporting several community projects from creating awareness of theenvironment to helping kids pursue their dreams.

“At Keppel, we believe thateveryone deserves a secondchance. We are happy toparticipate in the YellowRibbon initiative to helpsome of the inmatesreintegrate into society,”shared Stanley Yong, HRManager, Keppel Shipyard.

The jobs offered by KeppelO&M range from Welders toElectricians to CraneOperators. Candidates willundergo in-depth trainingconducted by Keppel O&Mbefore starting on their newjobs.

GREEN EARTH FOR ALLCHILDRENIt is our duty to preserve andupkeep the resources ofMother Earth. Thisphilosophy has guidedKeppel Shipyard in theircontinued participation ofthe National EnvironmentAgency’s (NEA) annual Clean& Green Week Schools’Carnival.

As one of its industrypartners, Keppel Shipyardwas presented at theCarnival with a Certificate ofSustained Partnership byNEA in recognition of theiractive participation since2004, with their adopted

school, Chung Cheng HighSchool (Main).

Corporations and schools inSingapore gathered on14 November 2006 at theSingapore Expo to showcasetheir environmental projects.The event drew nearly 1000students from 135 schools.

Chung Cheng High schoolwon the Merit Prize in theE n v i r o - I n n o v a t eCompetition. Their project,entitled Eco-lovers, is a boardgame that showcases themyriad green spaces inSingapore. It was conceivedby four friends who wantedto stimulate children’s

Stanley Yong (left), HR Manager of Keppel Shipyard (Tuas) receives the Certificate of SustainedPartnership by NEA from Dr Amy Khor, Senior Parliamentary Secretary, Ministry of theEnvironment and Water Resources

Students from Chung Cheng High School (main) thank Keppel Shipyard for their support

Community 45


interest and awareness inenvironmental issues.

The group also won the‘Best Decorated Booth’competition held during theClean and Green WeekExhibition on 14 and 15November 2006.

REACHING FOR THE BLUESKYSomewhere over therainbowSkies are blueAnd the dreams that youdare to dreamReally do come true

Eleven-year-old Justina Ravibelted the words to the songto an appreciative audienceat the Child Aid Concert on29 November 2006. Herperformance was part of acharity concert at theNational University ofSingapore’s cultural centre,showcasing some ofSingapore’s young musiciansin support of their lessprivileged peers.

Keppel O&M contributed$50,000 to the cause and

some 50 Keppelites turnedup in support of the children.

Organised by Singapore PressHoldings, the concert was insupport of The Straits TimesSchool Pocket Money Fundand The Business TimesBudding Artists Fund. TwoChild Aid concerts were heldand helped to raise a recordof $390,000.

Chairman/CEO of KeppelO&M, Mr Choo Chiau Bengsaid, “We have a greatpassion in nurturing thecommunities where we

operate. This is an excellentopportunity to supportneedy children and helpthem to pursue their dreams.

“ChildAid 2006 is a worthycause and Keppel is proud tobe part of this initiative. Ouraffiliation with helping theless fortunate goes backmany years from supportingcharitable organisations likethe Association of Personswith Special Needs.”

The concert saw childprodigies such as pianistAbigail Sin, jazz croonerNathan Hartono, operasinger Janani Sridhar anddrummer boy Ethan Ong,amongst others, who played,sang and danced their heartsout for the needy children.

RED LETTER DAY FOR ANATIONAL ICONOn 8 December 2006, the119-year-old NationalMuseum of Singaporereopened its doors to thepublic after three years ofrefurbishment. Twice itsoriginal size, the museum

now boasts new state-of-the-art galleries.

As one of the key sponsorsfor the museum’s openingfestival, Keppel O&M isproud to be part of therebirth of a national icon.

Chairman/CEO of KeppelO&M, Mr Choo Chiau Bengattended a special dinnerhosted by the museumwhich was graced byPresident SR Nathan.

The museum now showcases11 significant nationaltreasures and several never-before-displayed artefacts. Itsrenaissance will kick-offwith a month-long festivalfeaturing performances andspecial installations.

BURNING BLACK RUBBERFOR GOOD CAUSEIn aid of the CommunityChest, Keppel Singmarinepledged donations of morethan $4,000 through theStandard Chartered

Children from Tampines Primary School perform in bid to help their less fortunate peers

History in the making as President SR Nathan and fellow dignitaries declare the Museum officially open


46 Community


Singapore Marathon held on3 December 2006.

Mr Hoe Eng Hock, ED, andMr Tan Cheng Hui, GM(Engineering) of KeppelSingmarine, put on theirrunning shoes and poundedthe streets in the full 42-kmmarathon and 21-km halfmarathon races respectively.

GOLDEN HABIT OFSAVINGInto its second year, theSingapore HealthFoundation’s “SavemoneySavelives” campaign hasyielded significant resultsover the period of threemonths, with Keppel O&Mas its main sponsor.


Launched by Dr VivianBalakrishnan, Minister forCommunity, Youth andSports and Second Ministerfor Trade and Industry, thecampaign aims to raise fundsfor supporting biomedicalprojects that could translateto better quality healthcarefor patients in Singapore.

Members of the KeppelRecreation Club also joinedstaff from Keppel O&M onthe day of the campaignlaunch to help sell“Savemoney Savelives”discount coupons.

For Chew Mei Yong,Chairperson of the KeppeliteCommunity ServiceCommittee, she believes that

there is always a part for usto play in caring for thecommunity.

She shared, “We are happyto be involved in this goodcause. There is alwayssomething we all can do tohelp others and what betterway then contributingtowards better healthcare forSingaporeans and thecommunity at large.”

NOT A WHITECHRISTMAS FORSHARITYThe Sharity Gift Box donationdrive held between 1-9December 2006 collectedsome 285 presents fromgenerous Keppelites acrossthe Group. The gifts were

Gifts donated by staff across the Keppel Group of companies were delivered to Canossian School, by Mei Yong (third from right) and fellowcolleagues from Keppel FELS

delivered to CanossianSchool, a school for childrenwith hearing impairment.

This effort was started lastyear by Keppelite Chew MeiYong from Keppel FELS. Shewanted to bring cheer duringChristmas to the lessfortunate, inculcate a spirit ofcommunity service andpromote the spirit of caringand sharing amongKeppelites.

Mei Yong shared, “Theconcept is to share the joy ofChristmas by giving a littlepresent to the children whoare less fortunate to let themknow that they are beingcared for and they are notforgotten.” keppelite

Community 47


volunteersKeppel


Tree cheers for Christmas

“May I have a Barbie Doll,please?”

This is one of some 150wishes of underprivilegedchildren, written onbeautifully decorated cardsand hang on the Christmastree at Keppel Bay Tower’slobby. They were snapped upby generous tenants withinthree days after the wish-decked tree was put up.

Every year, tenants of Keppelbuildings have helped spreadthe spirit of giving andsharing by playing Santa tothe children. They simply picka wish off the tree and makea child very happy.

Keppel Land’s ChristmasWish Project, into its fourthyear, has fulfilled more than2000 wishes of children,between six to 17 years old.

Similar Christmas trees wereput up in other officebuildings managed byKeppel Land, includingOcean Building, OceanTowers, Keppel Towers,Prudential Towers, CapitalSquare, Equity Plaza andBugis Junction Towers.

This year, the Christmas treeswere once again brimmedwith the wishes of childrenfrom Chaoyang School,

Katong School, TanglinSchool and Delta SpecialSchool, all under theumbrella of the Associationof Persons with SpecialNeeds (APSN).

“We have been doing thisChristmas Wish project sinceKeppel Corporation adoptedAPSN and we have alwaysmade it a point to fulfill thewishes of the children.

“For instance, we havecollated 780 wishes fromAPSN this year, instead ofthe usual 500. So we haveabout 160 wishes not

distributed to any of thebuildings. Colleagues inOcean Building and OceanTowers have made monetarycontributions to buy presentsto fulfill the remainingwishes,” said Alan Ng,Property Manager, OceanProperties Pte Ltd.

Ryan Woon from CanonSingapore, a tenantof Keppel Bay Tower,commends this meaningfuleffort, “It is veryheartwarming to see sometop executives in mycompany getting away fromtheir piles of work and

Joy to the world as wishes of underprivileged children are fulfilled

spending time hunting downgifts for the children.

“I think this is also a greatway to remind those of uswho are more fortunate thatthere are some out therewho could really do with alittle extra kindness andsharing.”

The Anglo-Chinese JuniorCollege Choir added to thefestive cheer with Christmascaroling. It was a specialgesture to thank the tenantsof the buildings for theirsupport towards the project.keppelite

BackPage48


Keppel enhances leadershipposition in jackup rigsKeppel FELS has secured aUS$371 million contract toconstruct the first KFELS NClass jackup rig for ProdJackAS, a member of the SkeieGroup.

When delivered at the end ofthe first quarter of 2010, theKFELS N Class rig will be thelargest jackup rig ever to bebuilt in Singapore. It will alsobe among the world’s largestjackup rigs to be constructedfor the North Sea.

Under the agreement,Keppel will have a 10%equity stake in the rig.

The KFELS N Class rig is thebrainchild of Keppel’s R&Darm, Offshore TechnologyDevelopment, followingKeppel’s extensiveexperience in constructingrigs for the North Sea regionsince 1985.

The KFELS N Class designprovides customers theflexibility of having a jackupunit that can undertakedrilling and productionactivities concurrently. Thisstate-of-the-art jackupdrilling rig will have featuresthat readily accept processmodules for productionactivities.

Said Mr Choo Chiau Beng,Chairman & CEO of KeppelOffshore & Marine (Keppel

O&M), “This is our secondmajor partnership with atrend-setting customer todevelop and build newproducts to meet the risingneeds of the oil and gasindustry.

“Three years ago, when wefirst co-operated with theSkeie Group, the offshoremarket was still lacklustre.Their market foresight andentrepreneurial spirit insearching for innovativesolutions in challengingconditions has encouragedus at that time to developand design the KFELS SuperB Class jackup rig that candrill in deeper depths athigher temperature andpressure.

“We have since deliveredtwo of five KFELS Super Bs,the Deep Driller 2 and Deep

Driller 3, ahead of scheduleto the highly satisfiedcustomer.

“About a year ago, Keppelsaw opportunities arisingfrom the Norwegian NorthSea sector. At the same time,the Skeie Group was also onthe lookout for an innovativerig for the marginal fields inthe North Sea. Our R&D armassessed this demanding andtechnically challengingrequirement and workedwith Skeie Group to developthe innovative KFELS NClass self-elevating jackupsolution.”

The North Sea region is oneof the world’s harshestoperating environments foroffshore exploration andproduction. It comprisesnumerous marginal fields,each having relatively limited

oil and gas reserves. Yettogether, these fieldscontain Western Europe’slargest oil and natural gasreserves, and is one of theworld’s key non-OPECproducing regions.

The KFELS N Class is suitedfor operation in harshweather conditions, waterdepths of up to 400 feet anddrilling depths of down to35,000 feet. The design is infull compliance with thedemanding and technicalchallenging requirements ofrigs operating in theNorwegian sector of theNorth Sea. None of thejackup rigs on order todayare specifically designed tomeet these requirements.


Keppel FELS and ProdJack senior management seal a new partnership

keppel group newsletter keppelite · drawing up plans and conducting exercises are just some of the...

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