SHELL CONTRACT FOR DESIGN, CONSTRUCTION AND OPERATION OF 3 ISV’S.

June 18, 2014

Shell Australia has awarded a major contract for the design, construction and operation of three Infield Support Vessels (ISVs) to KOTUG Australia (formerly KT Maritime) to support its Prelude FLNG Project, located 475km north-north east of Broome, in Western Australia.

The contract includes the supply of three 42 metre-long, 100-tonne bollard-pull Rotortugs to assist in product offloading during the operations phase of the project. The ISVs will operate out of the Port of Broome on a rotation.

First in Floating LNG

The vessels have been specifically designed to meet the Prelude FLNG facility’s unique marine services requirements which include tanker berthing and offshore operations support, including emergency response, for a period of at least 25 years.

The contract is expected to create approximately 80 new Australian jobs and includes commitments to the employment of Indigenous trainees supported by Aboriginal Marine Services based in Perth.

 “This is a very significant contract when it comes to the ongoing operation of Prelude FLNG, and our key priorities in awarding the contract were finding a partner who could deliver the vessels and services safely, and secure good local employment and training outcomes,” said Shell Australia Country Chair, Andrew Smith.

“This contract is an example of the long term benefits of Prelude FLNG. During the operations and maintenance phase we expect to spend at least $200 million per year on local content, this is a very positive level of investment into the Australian economy.”

CEO of KOTUG International, Mr Ard-Jan Kooren said “We are proud to be working with Shell Australia in pioneering FLNG technology, and look forward to changing the game together over the decades ahead.”