Singapore's Seatrium is in advanced discussions with BP for the engineering, procurement, construction, and commissioning (EPCC) contract for the Tiber floating production unit (FPU) in the US Gulf of Mexico. Although BP made the final investment decision for the $5 billion Tiber-Guadalupe development over six weeks ago, the contract has not yet been finalized. The project involves a new FPU designed to handle up to 80,000 barrels of oil per day, with production start-up targeted for 2030.

Strategic Project Pipeline and Order Book

Seatrium is actively pursuing a robust pipeline of newbuild and EPC opportunities in the Americas and globally. The company's strategic focus is on converting this pipeline into new orders to ensure future earnings visibility. As of 30 September, Seatrium's net order book stood at S$16.6 billion, comprising 24 projects with deliveries scheduled until 2031.

Leveraging Proven Expertise and Current Projects

The Tiber FPU project is expected to leverage Seatrium's proven topsides single lift integration methodology, similar to the approach used for the Kaskida FPU, another BP project for which Seatrium holds the contract. The Kaskida FPU, scheduled for delivery in 2027, has a production capacity of 80,000 bpd of oil and 25 million cubic feet per day of gas. Construction on Kaskida commenced in the third quarter after achieving the "strike steel" milestone.

Recent Operational Milestones and Divestments

Seatrium remains on track to deliver three more projects by the end of the year, including topsides modules for Modec's Raia FPSO vessel destined for Brazil. The P-80, P-82, and P-83 FPSOs are currently at Seatrium's Tuas Boulevard yard in Singapore undergoing integration work. As part of efforts to enhance operational efficiency, the company recently divested its surplus US yard and non-core platform supply vessels for over S$140 million.

Financial Performance and Market Outlook

The company reported a strong performance in the third quarter of 2025, attributing this to a diversified portfolio and solid project execution. New orders in Q3, primarily from returning customers, included upgrades to the Hilli Episeyo FLNG vessel and various repair and upgrade projects. Seatrium anticipates sustained demand for oil and gas assets, driven by rising global energy consumption from sectors like data centers and artificial intelligence.

This material is an AI-assisted summary based on publicly available sources and may contain inaccuracies. For the original and full details, please refer to the source link. Based on materials by Amanda Battersby. All rights to the original text and images remain with their respective rights holders.