Keppel Shipyard has secured a US $50 million contract for the modification of the floating production, storage, and offloading (FPSO) vessel OSX-1.

The vessel is owned by a subsidiary of OSX Brasil. Keppel Shipyard's scope of work includes procurement, detailed engineering, and the modification of the topside process modules. Keppel Shipyard will work with BW Offshore, which will provide project management, engineering services, and technical guidance services.

Scheduled to leave Keppel Shipyard in 2Q 2011, the vessel will be deployed in the Campos Basin offshore Brazil on a 20-year lease to OGX Petróleo e Gás.

Nelson Yeo, managing director of Keppel Offshore & Marine, said, “We are pleased to embark on this partnership with OSX. This contract is a result of the track record we have built up with our customers in the markets where we are present. Our ability to deliver to our customer's satisfaction a complete range of solutions stands us in good stead to be the provider of choice for the offshore and marine industry. Having completed a significant number of projects successfully working in Brazil, we look forward to delivering another outstanding FPSO for the region.”