Keppel Corp

Keppel Corp: says it is 'comfortable' with its Sore yard capacity even after a blistering 2011 when rig order wins ballooned to a record US$10b.
CEO Choo Chiau Beng said KEP has always been prudent in not increasing capacity simply to meet short-term increases in demand, pointing to the Spore yards' ability to deliver 21 jack-up and semi-submersible rigs in 2009 and 2010.

Nevertheless the real test will come in 2013, when its Spore yards have 20 rigs slated for delivery, meaning churning out rigs almost every other week.
KEP has thought up ways to overcome yard constraints, such as using a floating barge for drydock. Moreover, KEP can choose to outsource some fabrication work on modules to its regional yards in the Philippines, China and Indonesia.

KEP has also been benefiting from increased interest in the offshore wind energy space. While it has no plans to become a full turnkey provider in this mkt, KEP has not kept too distant from the opportunity. Since 2010, it won two offshore wind contracts - an electrical transformer and maintenance platform and a wind installation vessel. Moreover, in early 2012, it acquired a 49.9 per cent stake in OWEC Tower, a leading industry designer of jacket foundation for the offshore wind industry.
'This will also add to our offerings in the offshore wind installation industry, and we will continue to explore opportunities to expand our suite of solutions for this industry,' said Mr Choo.