Bumi Armada Berhad has been appointed as the FPSO Lease Contractor for the Madura BD Field, Offshore Indonesia via a Letter of Intent issued by Husky-CNOOC Madura Limited (“HCML”).
Pursuant to the Letter of Intent, the Consortium will supply a Floating Production, Storage and Offloading Vessel to HCML at a contract value of USD1.18 billion for a fixed period of ten years with options of five annual extensions worth an aggregate value of USD147 million, if the options are fully exercised by HCML, subject to terms and conditions of the FPSO Lease Contract to be finalised and signed within forty-five days from the effective date of the LOI of 8 August 2014 subject to such extension to be mutually agreed between HCML and the Consortium. The Consortium is authorised to commence initial engineering work immediately on issuance of the LOI.
HCML is an oil and gas company based in Jakarta, located in the Madura Straits, offshore East Java, Indonesia. The shareholders of HCML are CNOOC Southeast Asia Limited, Husky Oil Madura Partnership and SMS Development Limited holding 40%, 40% and 20% in HCML respectively.
Press Release, August 20, 2014