MISC wins FSO time charter contract

Malaysia's MISC, through joint venture Malaysia Vietnam Offshore Terminal (MVOT), has been awarded a time charter contract by Japanese petroleum company Idemitsu Kosan (IKC) for the provision of a floating storage and offloading (FSO) vessel in Vietnam.

This is MISC's first venture with IKC.

Under this contract, which is valued at approximately US$176 million, MVOT will be responsible for the engineering, procurement, construction, installation, commissioning, lease, and operations of the FSO.

Upon its conversion, the FSO will be deployed for the Sao Vang and Dai Nguyet Development Project in Blocks 05-1b and 05-1c offshore Vietnam and it will be leased for a duration of seven years.

The contract and the charter are expected to commence by mid-2020.