Keppel Shipyard Ltd., a wholly-owned subsidiary of Keppel Offshore & Marine Ltd (Keppel O&M), has secured a firm contract from Golar Gimi Corp., a subsidiary of Golar LNG Ltd., to perform the conversion of a second Moss LNG carrier, the GIMI, into a floating liquefaction vessel (FLNGV), according to a news release.

The contract, which has become effective, is worth about $705 million.

The conversion award of the GIMI marks the exercise of the first of two options, which were part of an earlier firm contract awarded by Golar to Keppel Shipyard for the conversion of another Moss LNG carrier, the HILLI, into an FLNGV, the release said.

The work scope for Keppel Shipyard in converting the GIMI is similar to that for the HILLI. Keppel Shipyard will provide the design, detailed engineering and procurement of the marine systems and all of the conversion-related construction services, according to the release. Keppel Shipyard will again engage Black & Veatch to provide design, procurement and commissioning support services for the topsides, as well as the liquefaction process utilizing its PRICO technology.

Full construction activities of the GIMI will only commence when Keppel Shipyard receives a notice to proceed, expected to be issued no later than November 2015, the release said. In the meantime, orders for long-lead primary equipment such as gas turbines and cold boxes will be placed. The Golar Gimi FLNGV is expected to be delivered about 33 months after receipt of the notice to proceed.

Offshore