Keppel Subic Shipyard Fabrication Yard Project to Generate 1,200 Jobs

The Service Contract (SC) 38 Consortium, composed of Malampaya Deepwater Gas-to-Power Project operator Shell Philippines Exploration, BV (SPEX) and its joint venture partners Chevron Malampaya LLC and the Philippine National Oil Company – Exploration Corporation (PNOC-EC), have just completed their respective Final Investment Decisions (FIDs) on the next-phase development of the Project.

Following the FID is their announcement of awarding a fabrication yard contract to Keppel Subic Shipyard, Inc.  The yard will be located in Subic, Zambales and will fabricate, install and integrate the substructure and top side modules of the depletion compression platform to support the completion of Malampaya Phase 3.

The project is estimated to generate at least 1,200 local jobs.  “This fabrication yard will not only generate local employment but is also expected to bring technical expertise into the country as it can serve as a possible site for future complex fabrication projects,” says Sebastian Quiniones, Shell Philippines Exploration Managing Director and Malampaya Asset Manager.

The SC 38 Consortium extends its gratitude to all the bidders for their great effort to participate in the fabrication yard tender. “We look forward to working with Keppel Subic Shipyard in this very important undertaking to support the Government’s thrust towards energy security and contribute to nation-building,” adds Quiniones.

A major infrastructure project of the national government, the Malampaya Deepwater Gas-to-Power Project is made possible through the excellent collaboration between private companies and Government agencies, led by the Department of Energy.

The Project currently supplies fuel for 40-45% of Luzon’s power generation requirements.  Malampaya Phase 3 aims to maintain the level of gas production to fulfil commitments under existing gas sales agreements, thus ensuring the steady supply of natural gas to power the Luzon electricity grid.