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January - February - Jurong Shipyard Pte Ltd

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Jan-Feb 2011 MICA (P) 023/07/2010<br />

Marking a Historic Milestone<br />

with EDB<br />

Delivery of El Qaher II<br />

Newbuilding and Upgrading Orders for<br />

Sembcorp Marine Yards<br />

Record Performance for FY2010


COVER STORY<br />

Marking a historic milestone with EDB<br />

Relay runners together with management from Sembcorp Marine and Sembcorp Industries.<br />

Marking the start of the relay run at Exxon Mobil.<br />

All smiles as the relay party raced towards <strong>Jurong</strong><br />

<strong>Shipyard</strong>.<br />

Sembcorp Marine is proud to<br />

be chosen by the Economic<br />

Development Board (EDB) as a<br />

partner in its 50th Anniversary<br />

Heritage Relay on <strong>January</strong> 18, 2011.<br />

The Group’s subsidiary <strong>Jurong</strong><br />

<strong>Shipyard</strong> was selected as one of 50<br />

iconic locations for the EDB Heritage<br />

Relay due to its rich maritime<br />

heritage and historic significance.<br />

We are almost there!<br />

A key industry pioneer, Sembcorp Marine has<br />

made vital contribution to Singapore’s economic<br />

progress since the early years of the country’s<br />

independence. <strong>Jurong</strong> <strong>Shipyard</strong> − Singapore’s<br />

fi rst commercial shipyard − was established in<br />

1963 as a joint-venture between EDB and Japan’s<br />

Ishikawajima-Harima Heavy Industries (IHI), in line<br />

with the government’s industrialisation strategy.<br />

Welcoming the arrival of the team at <strong>Jurong</strong> <strong>Shipyard</strong>.<br />

Sprinting towards the pit-stop.<br />

02<br />

Jan-Feb 2011


COVER STORY<br />

Handover of batons to Mr Lim Kok Kiang, EDB’s Director for Transport<br />

Engineering and Asia Pacific, watched on by Mr Ng Meng Poh, Sembcorp<br />

Industries’ Executive Vice President and Head, Singapore and ASEAN (Utilities).<br />

Mr Lee Yeok Hoon, <strong>Jurong</strong> <strong>Shipyard</strong>’s Executive Director, receiving the baton<br />

from Mr Lim Kok Kiang to mark Sembcorp Marine’s close partnership with<br />

EDB.<br />

An EDB representative receiving the baton for the<br />

next leg.<br />

As part of the Group’s participation, a<br />

contingent of 30 representatives from<br />

Sembcorp Marine and parent company<br />

Sembcorp Industries joined the EDB team as<br />

they journeyed from Exxon Mobil to <strong>Jurong</strong><br />

<strong>Shipyard</strong>’s Tanjong Kling yard.<br />

When they entered the yard, the runners<br />

were welcomed by the hearty cheers and<br />

rousing applause of supporters as they jogged<br />

towards the corporate offi ce where they were<br />

greeted by Mr Lim Kok Kiang, EDB’s Director<br />

Escorting the outgoing team to their next relay<br />

point.<br />

for Transport Engineering and Asia Pacifi c,<br />

Mr Ng Meng Poh, Sembcorp Industries’<br />

Executive Vice President and Head, Singapore<br />

and ASEAN (Utilities), and Sembcorp Marine’s<br />

representative Mr Lee Yeok Hoon, Executive<br />

Director of <strong>Jurong</strong> <strong>Shipyard</strong>.<br />

After the baton handover ceremony,<br />

Sembcorp Marine’s representatives led the<br />

outgoing contingent of EDB and <strong>Jurong</strong> Town<br />

Corporation runners through the yard as they<br />

made their way to the next destination.<br />

The send-off party from Sembcorp Marine.<br />

To mark the close of the Heritage Relay,<br />

representatives of the Group joined runners<br />

from other participating companies during<br />

the final leg from the Esplanade Park to<br />

EDB’s corporate office at Raffles City<br />

Tower.<br />

Mr WS Wong, President and CEO of<br />

Sembcorp Marine, was also at the end<br />

point to welcome the Group’s runners and<br />

to show his support for this meaningful<br />

event.<br />

Sembcorp Marine’s contingent flashing their winning smiles after completing<br />

the final leg of the Heritage Relay.<br />

Strong support: Mr WS Wong, President and CEO of Sembcorp Marine, was<br />

among the stakeholders present at the close of the event at EDB.<br />

Jan-Feb 2011<br />

03


YARD NEWS<br />

Altair Voyager - First Alliance Repair for 2011<br />

Arriving for repairs.<br />

Altair Voyager takes off to the next destination.<br />

<strong>Jurong</strong> <strong>Shipyard</strong> and its alliance partner Chevron<br />

Shipping Company partnered closely to achieve the<br />

successful repair completion of Altair Voyager in<br />

<strong>January</strong> 2011.<br />

Altair Voyager, the fi rst alliance overhaul for the year, called at <strong>Jurong</strong><br />

<strong>Shipyard</strong> in December 2010 for a series of repair and maintenance works.<br />

The 135,829 dwt oil tanker, measuring 258.90m x 48.30m x 25.16m,<br />

underwent routine works comprising repairs on its ballast tanks, fore<br />

peak tank as well as the slop tank heating coils. Before departing, the<br />

tanker further received overhaul works to the main engine and steam<br />

expansion joints as well as hull blasting and painting.<br />

Undergoing overhaul in the yard.<br />

The incident-free repair success is yet another testament to the solid<br />

teamwork between the <strong>Jurong</strong> and Chevron teams as well as their<br />

continuous commitment towards achieving Health, Safety, Security and<br />

Environment (HSSE) excellence.<br />

Chevron-<strong>Jurong</strong> alliance team marking the incident-free repair achievement.<br />

04<br />

Jan-Feb 2011


YARD NEWS<br />

Visit by Kota Sisters<br />

Pacific International Lines sister containerships Kota Ratu and Kota Rukun were spotted in <strong>Jurong</strong> <strong>Shipyard</strong> in<br />

<strong>February</strong> 2011 when they called for repair and maintenance.<br />

The 13,064 dwt Kota Ratu and 13,058 dwt<br />

Kota Rukun, both measuring 144.00m x<br />

22.60m x 10.80m, received similar repair jobs<br />

during their stopover. Major works performed<br />

by the yard included steel repairs in various<br />

locations, cell guide repairs in various cargo<br />

holds, and routine underwater and engine<br />

room repairs.<br />

As part of their makeover, Kota Ratu and Kota<br />

Rukun also underwent blasting and painting<br />

works prior to their scheduled departures in<br />

early March.<br />

Kota Rukun regains strength.<br />

Kota Ratu receiving repair treatment.<br />

Meeting with Mare Mas<br />

<strong>Jurong</strong> <strong>Shipyard</strong> welcomed<br />

the arrival of the 8,100 dwt<br />

containership Mare Mas which<br />

docked at the yard for routine<br />

maintenance works in <strong>January</strong><br />

2011.<br />

The 119.9m x 21.8m x 7.2m Indonesian vessel,<br />

owned by the yard’s long-term customer PT<br />

Pelayaran Tempuran Emas TBK, underwent a<br />

series of repairs, including tailshaft withdrawal<br />

and renewal of aft seals.<br />

Before setting off in early <strong>February</strong>, the vessel<br />

received full blasting works and a fresh<br />

application of paint to her hull to further enhance<br />

her appearance and performance.<br />

Mare Mas taking time out.<br />

Jan-Feb 2011<br />

05


YARD NEWS<br />

Polishing Stolt Topaz<br />

The 176.80m x 32.25m x 15.00m Stolt Topaz called at <strong>Jurong</strong> <strong>Shipyard</strong> in mid <strong>February</strong> 2011 to undergo a<br />

series of drydocking works as part of her maintenance schedule.<br />

The list of repairs lined up for the 38,818 dwt tanker owned by Stolt Tankers B.V. included funnel top steel renewal, ISO tank repair, tank blasting as well as<br />

hull blasting and coating.<br />

With the strong synergy between the <strong>Jurong</strong> team and the crew from Stolt Topaz led by Superintendent Mr Johansen, the vessel made smooth progress and<br />

is on track for departure in early March 2010.<br />

Stolt Topaz rearing to go.<br />

All set to perform and shine.<br />

Rekindling Doric Spirit<br />

<strong>Jurong</strong> <strong>Shipyard</strong> hosted Doric<br />

Spirit, a 190.00m x 32.30m x<br />

17.00m, 53,609 dwt bulk carrier<br />

belonging to Chios Navigation<br />

Hellas <strong>Ltd</strong>, during her repair stop<br />

at end <strong>February</strong> 2011.<br />

The repair package for Doric Spirit included major<br />

overhaul works, comprising steel repairs, cleaning<br />

of fuel oil tanks, re-positioning of the panama<br />

chocks, renewal of seawater pipes as well as<br />

overhauling of the windlass and mooring winch<br />

coupling.<br />

The yard also carried out main engine bearings<br />

inspection, underwater works as well as hull<br />

blasting and painting to ready the vessel for her<br />

scheduled departure in early March.<br />

Doric Spirit charged up and refreshed.<br />

06<br />

Jan-Feb 2011


SCM : AROUND THE YARDS<br />

Atwood Orders Third Jack-up from PPL <strong>Shipyard</strong><br />

PPL <strong>Shipyard</strong>, a subsidiary of Sembcorp Marine, has signed another turnkey contract in <strong>January</strong> 2011 with<br />

Atwood Oceanics Pacific Limited, a wholly owned subsidiary of Atwood Oceanics Inc, to build a third jack-up<br />

rig valued at up to US$182 million.<br />

Scheduled for delivery at end June 2013,<br />

the jack-up rig is the fi rst of a series of three<br />

jack-up options that PPL <strong>Shipyard</strong> granted to<br />

Atwood Oceanics Pacifi c in October 2010.<br />

To be built based on PPL <strong>Shipyard</strong>’s latest<br />

Pacifi c Class 400 proprietary design, the new<br />

jack-up will have similar specifi cations to the<br />

two earlier rigs ordered by Atwood Oceanics<br />

Pacifi c. These rigs represent the latest<br />

generations of high-specifi cation jack-up drilling<br />

rigs with greater capacities and capabilities<br />

than current conventional units.<br />

PPL <strong>Shipyard</strong> Delivers El Qaher II<br />

on Schedule<br />

On completion, these new rigs will be capable<br />

of operating in waters of 400 feet and drilling to<br />

depths of 30,000 feet. They will offer improved<br />

drilling effi ciencies with offl ine pipe handling,<br />

simultaneous operations support and increased<br />

accommodation capacity.<br />

The three rigs on order by Atwood Oceanics Pacific<br />

will be built based on PPL <strong>Shipyard</strong>’s new proprietary<br />

Pacific Class 400 jack-up design shown above.<br />

Delivery on schedule: El Qaher II, the second of two proprietary Pacific Class 375 design jack-up rigs built for<br />

Egyptian Offshore Drilling Company by PPL <strong>Shipyard</strong>.<br />

PPL <strong>Shipyard</strong>, a subsidiary of Sembcorp Marine, marked its first jackup<br />

rig delivery in 2011 with the on-schedule handover of El Qaher II to<br />

Egyptian Offshore Drilling Company (EODC) at end <strong>February</strong> 2011.<br />

El Qaher II is the second jack-up rig built by PPL <strong>Shipyard</strong> for EODC following the delivery of sister<br />

rig El Qaher I in December 2010. The rig is the 23 rd jack-up unit delivered by PPL <strong>Shipyard</strong> based on<br />

its proprietary Pacifi c Class 375 design and is capable of drilling high-pressure and high-temperature<br />

wells of 30,000 feet as well as operating in water depths of 375 feet, with accommodation for 120<br />

crew members. Scheduled for sailaway in early April, El Qaher II will be deployed for operations in<br />

the Mediterranean region.<br />

Dr Benety Chang, Deputy Chairman of PPL<br />

<strong>Shipyard</strong>, said: “We are pleased that Atwood<br />

Oceanics has chosen to exercise this fi rst<br />

option granted by PPL <strong>Shipyard</strong>. This contract<br />

reaffi rms the confi dence in the jack-up rig<br />

market and in particular for high-specifi cation<br />

premium quality drilling rigs.”<br />

Mr Rob Saltiel, President and CEO of Atwood<br />

Oceanics, commented: “Our decision to<br />

exercise this option refl ects continued<br />

confi dence in the Pacifi c Class 400 rig<br />

design and our satisfaction thus far with the<br />

construction progress of our fi rst two rigs at<br />

the PPL <strong>Shipyard</strong>. In addition, we believe that<br />

by committing early in the build cycle, Atwood<br />

has procured these three high-specifi cation<br />

jack-ups at an attractive price.”<br />

Jan-Feb 2011<br />

07


SCM : AROUND COVER SCM : NEWS STORY THE YARDS<br />

Sembawang <strong>Shipyard</strong> Clinches S$215M Newbuilding<br />

and Upgrading Contracts<br />

Sembawang <strong>Shipyard</strong>, a subsidiary of Sembcorp Marine, has secured a newbuilding and three major upgrading<br />

contracts totalling S$215 million in <strong>January</strong> 2011, reinforcing its reputation as a world leading shipyard for ship repair,<br />

ship conversion and specialised offshore newbuilding.<br />

Newbuilding of DP Bluewater<br />

Research Vessel<br />

The fi rst contract for the Engineering,<br />

Procurement, Construction and Commissioning<br />

(EPCC) of a dynamically positioned bluewater<br />

research vessel for Australia was awarded<br />

by Teekay Shipping (Australia) Pty <strong>Ltd</strong>. The<br />

Commonwealth Scientifi c and Industrial<br />

Research Organisation (CSIRO), Australia’s<br />

national science agency and one of the largest<br />

and most diverse research agencies in the<br />

world, will operate the vessel on behalf of the<br />

Australian Government for use by the Australian<br />

marine research community.<br />

Sembawang <strong>Shipyard</strong> secured this S$123<br />

million specialised newbuilding contract based<br />

on the shipyard’s capabilities and established<br />

track record in the highly specialised and<br />

sophisticated sector of niche and customised<br />

vessel newbuilding. In particular, dynamically<br />

positioned and fi t-for-purpose vessels require<br />

able design, engineering and project management capabilities, high<br />

Health, Safety and Environment (HSE) standards, proven EPCC expertise<br />

and strong organisational capabilities.<br />

Upon completion and delivery in the second quarter of 2013, the vessel<br />

will be named RV Investigator and will provide a safe and advanced<br />

diverse marine science capability to Australia. Based in Hobart, Tasmania,<br />

the vessel will operate from the tropical north to the Antarctic ice-edge<br />

and across the Indian, Southern and Pacifi c oceans.<br />

Mr David Parmeter, Managing Director of Teekay Shipping (Australia)<br />

Pty <strong>Ltd</strong>, said: “Sembawang <strong>Shipyard</strong> is our valued partner in Singapore<br />

and has strongly supported us throughout the due diligence process to<br />

CSIRO. We are confi dent that our close partnership and collaboration will<br />

lead to the timely and safe delivery of the state-of-the-art new research<br />

facility to comply with CSIRO’s stringent operating standards for multidisciplinary<br />

research activities at sea.”<br />

Dr Andrew Johnson, Group Executive − Environment, CSIRO, said:<br />

“The award of this contract is an important part of a four-year process<br />

by CSIRO through the “Future Research Vessel Project” to build a new<br />

and highly advanced research vessel. RV Investigator will signifi cantly<br />

boost the oceanographic, geoscientifi c, fi shery, and ecosystem research<br />

capability available to Australian marine researchers. The new vessel<br />

will deliver benefi ts to many Australian agencies and underpin science<br />

Contract signing at CSIRO office in Hobart, Tasmania by key stakeholders from CSIRO and Teekay Shipping as<br />

well as representatives from Sembawang <strong>Shipyard</strong>, including Managing Director Mr Ong Poh Kwee.<br />

discoveries from Southern Hemisphere marine environments. We have<br />

selected Sembawang <strong>Shipyard</strong> and Teekay Shipping as the right partners<br />

for CSIRO through a rigorous evaluation process and have full confi dence<br />

that both companies will together deliver our new vessel to our required<br />

standards.”<br />

Upgrading Contracts<br />

Sembawang <strong>Shipyard</strong> was also awarded three major upgrading projects<br />

with a total contract value of S$92 million comprising: 1) an upgrade of a<br />

dynamically positioned heavy-lift and pipelay vessel with a lifting capacity<br />

of up to 4,400 tons from a leading engineering, procurement, construction<br />

and installation company, 2) a LNG carrier longevity project and 3) an<br />

upgrade of a drillship.<br />

Mr Ong Poh Kwee, Managing Director of Sembawang <strong>Shipyard</strong>, said: “We<br />

would like to thank our partners and customers for selecting Sembawang<br />

<strong>Shipyard</strong> to execute these prestigious and important contracts and for<br />

their trust and confi dence in our capabilities. Each of these projects<br />

demand strong engineering and project skills to be executed in a safe<br />

environment and at a time when the shipyard is near completion of our<br />

infrastructural enhancement programme. Our commitment to our partners<br />

will be demonstrated in timely, quality and effi cient turnaround of projects.<br />

We look forward to delivering mutual benefi ts and value propositions to<br />

our world-class customers.”<br />

08<br />

Jan-Feb 2011


Another Year of Record Net Profit At $860M<br />

Sembcorp Marine achieved another year of record performance with net<br />

profit increasing 23% to a high of $860 million in 2010.<br />

SCM : AROUND THE YARDS<br />

Group turnover at $4,555 million was 20% lower<br />

as compared with $5,725 million in 2009. The<br />

lower turnover was attributable mainly to lower<br />

progressive revenue recognition for rig building,<br />

ship conversion and offshore projects as well as<br />

lower variation order settlement in 2010 versus<br />

2009.<br />

Combined media and analysts results briefing on<br />

<strong>February</strong> 23, 2011.<br />

Group operating profi t at $943 million was 9%<br />

higher as compared with $862 million in 2009. The<br />

higher operating profi t was due to the resumption<br />

of margin recognition arising from the sale of the<br />

CJ70 harsh environment jack-up rig as well as<br />

the execution of repeat rig orders for customers<br />

during the year.<br />

At pre-tax level, Group profi t increased 19% to<br />

hit a record high of above the $1 billion mark for<br />

the fi rst time at $1,078 million from $908 million<br />

in 2009. The increase was attributable to higher<br />

profi t margin and the receipt of settlement of<br />

the disputed foreign exchange transactions with<br />

Societe Generale during the year.<br />

Dividends<br />

In view of the record performance in 2010 and to<br />

reward shareholders for their continued interest<br />

and unwavering support of the Group amid the<br />

challenging operating environment in the past,<br />

the Board of Directors recommended a fi nal<br />

ordinary one-tier tax-exempt cash dividend of<br />

6.00 cents per share and a special one-tier taxexempt<br />

cash dividend of 25.00 cents per share.<br />

Total fi nal one-tier tax-exempt cash dividend will<br />

be 31.00 cents per share for the fi nancial year<br />

ended 31 December 2010.<br />

Mr WS Wong, President & CEO of Sembcorp<br />

Marine, interacting with analysts.<br />

Including the interim one-tier tax-exempt cash<br />

dividend of 5.00 cents per share paid on 31<br />

August 2010, the total fi nal dividend for FY 2010<br />

will be 36.00 cents per share, an increase of 140%<br />

over the 15.00 cents per share in FY 2009.<br />

The proposed final and special cash dividend, if<br />

approved at the Annual General Meeting to be held<br />

on April 20, 2011, will be paid on May 11, 2011.<br />

Outlook<br />

The Group has a net order book of S$4.8 billion<br />

with completion and deliveries stretching till the<br />

second quarter of 2013. This includes S$3.04<br />

billion in contract orders secured in 2010 and<br />

S$361 million worth of contracts secured since<br />

the start of 2011, excluding ship repair contracts.<br />

Although global recovery has improved in past<br />

months, recent events in the Middle-East and North<br />

Africa may create uncertainties in the world economy<br />

which may have an impact on businesses.<br />

For the oil and gas industry, the fundamentals<br />

remain intact with oil prices expected to sustain<br />

above US$80 per barrel. Exploration and<br />

production (E&P) spending budgets continue to<br />

show positive development with oil companies<br />

reporting intention to increase E&P spending<br />

further in 2011.<br />

Given the highly skewed ageing rig fl eet and the<br />

bifurcation in the jack-up market with oil companies<br />

increasingly focused on new, safer and effi cient<br />

rigs, demand for premium and high-specifi cation<br />

rigs is expected to remain strong. The Group has<br />

since the fourth quarter of 2010 secured eight<br />

fi rm orders of jack-up rigs amounting to S$2.0<br />

billion with options for another ten units.<br />

While drilling activities in the Gulf of Mexico have<br />

slowed pending fi nalisation of deepwater drilling<br />

regulations, deepwater drilling activities for the<br />

rest of the world are expected to increase. This<br />

optimism is refl ected in the number of newbuild<br />

orders, in particular for drillships, by drilling<br />

contractors since the last quarter of 2010.<br />

Sembcorp Marine, with its proven track record<br />

in deepwater rigs, will be well-positioned to<br />

capture new orders and meet the industry’s most<br />

stringent operating requirements.<br />

Overall enquiries have improved though<br />

competition remains keen. The ship repair market<br />

continues to improve with continued demand for<br />

Senior management on the panel.<br />

bigger docks. The Group has secured several<br />

long-term contracts from its customers, in<br />

particular in the niche segments for the repair,<br />

upgrading and life extension of LNG carriers<br />

and passenger/cruise vessels. These long-term<br />

customers will continue to provide a stable baseload<br />

for the Group’s ship repair sector.<br />

Financial Highlights<br />

Description<br />

($’m)<br />

FY<br />

2010<br />

FY<br />

2009<br />

%<br />

change<br />

Revenue 4,555 5,725 (20)<br />

Gross Profi t 1,129 986 15<br />

EBITDA 1,026 938 9<br />

Operating Profi t 943 862 9<br />

PATMI 860 700 23<br />

EPS, basic (cents) 41.55 34.02 22<br />

NAV (cents) 125.1 91.3 37<br />

Revenue<br />

(S$’m)<br />

Turnover by Sectors<br />

FY<br />

2010<br />

FY<br />

2009<br />

%<br />

Change<br />

Ship repair 646.1 705.9 (8.5)<br />

Rig building 3,047.8 3,634.7 (16.1)<br />

Ship conversion<br />

/offshore<br />

820.4 1343.3 (38.9)<br />

Others 40.6 40.8 (0.5)<br />

Total 4,554.9 5,724.7 (20.4)<br />

S$’m<br />

Jan-Feb 2011<br />

09


SCM : NEWS<br />

Recognition for Business Excellence<br />

Sembcorp Marine received recognition for being the top 6th Singapore company<br />

with the highest overseas revenue in DP Information Group’s Singapore<br />

International 100 (SI 100) Ranking published in <strong>January</strong> 2011.<br />

The Group was placed among the top performing<br />

companies in the latest SI 100 Rankings published<br />

by DP Information Group, co-produced by Ernst<br />

and Young and supported by the Accounting<br />

and Corporate Regulatory Authority, Infocommunications<br />

Development Authority of<br />

Singapore, International Enterprise Singapore,<br />

Standards Productivity and Innovation Board (SPRING<br />

Singapore) and Singapore Business Federation.<br />

In the SI 100 Ranking, Sembcorp Marine<br />

secured the 6th spot based on its overseas<br />

sales turnover of S$3,953,476,000 in 2010. DP<br />

Information Group’s Singapore 1000 Ranking,<br />

which tiered corporations based on various<br />

fi nancial indicators, also listed Sembcorp<br />

Marine, <strong>Jurong</strong> <strong>Shipyard</strong>, Sembawang <strong>Shipyard</strong>,<br />

SMOE and PPL <strong>Shipyard</strong> among the top 1000<br />

companies.<br />

Nomura Visit<br />

To foster closer ties with the investment community,<br />

Sembcorp Marine hosted a group of fund managers on<br />

<strong>February</strong> 14, 2011 during their visit to <strong>Jurong</strong> <strong>Shipyard</strong><br />

organised by Nomura.<br />

Delegates were given an introduction of Sembcorp Marine before<br />

proceeding for a yard tour, where they had a fi rst-hand view of the various<br />

operations in progress to gain a deeper understanding of the Group’s<br />

business and capabilities.<br />

Fund managers gaining a better understanding of the Group’s operations.<br />

PT SMOE Indonesia Hosts Visits by BP MiGas<br />

PT SMOE Indonesia (PTSI) was<br />

honoured to host two visits for BP<br />

MiGas, Indonesia’s state owned<br />

regulatory body governing upstream oil<br />

and gas activities, during the second<br />

week of <strong>February</strong> 2011.<br />

The first delegation led by BP MiGas Chairman Pak Ir Priyono (seventh from left) with PTSI senior<br />

management.<br />

The second group marking the end of a fruitful visit.<br />

The first visit led by the Group’s Chairman, Pak Ir<br />

Priyono, was conducted on <strong>February</strong> 9, 2011. The<br />

team of nine people toured the facility with keen<br />

interest in the progress of the Gajah Baru Project,<br />

one of the biggest offshore platforms fabricated and<br />

installed in Indonesia, and left feeling impressed with<br />

PTSI’s facilities and management.<br />

Two days later, the second entourage of 40,<br />

comprising BP MiGas personnel along with<br />

representatives from Chevron, ConocoPhillips,<br />

ExxonMobil and Total, toured PTSI and also gained<br />

insights into its product portfolio and operations<br />

after a series of corporate introductions and<br />

presentations.<br />

10<br />

Jan-Feb 2011


Making a Difference for a Greener Future<br />

HAPPENINGS<br />

Sembcorp Marine’s subsidiary Sembawang <strong>Shipyard</strong> set another new record for its Green Wave Environmental<br />

Care Project for Schools 2010, with a participation of 312 project entries received by 1,250 students from 77<br />

schools and institutions.<br />

With active involvement from schools and strong support from the private<br />

and public sector, this annual competition has seen a more than two-fold<br />

increase in participation rate since its launch eight years ago. The number<br />

of entries and participants have risen impressively by 166% and 99%<br />

respectively since the start<br />

of the competition in 2003,<br />

which saw 117 project<br />

entries from 627 students<br />

back then.<br />

Viewing the winning entries from the<br />

competition.<br />

An award presentation<br />

ceremony, graced by Guestof-Honour<br />

Dr Mohamad<br />

Maliki Bin Osman, Senior<br />

Parliamentary Secretary for National Development and MP for Sembawang<br />

GRC (Admiralty), was held on <strong>January</strong> 13, 2011 at Marina Mandarin Hotel<br />

to recognise the 49 winning teams, which won cash prizes ranging from<br />

$200 to $6,000.<br />

Opened to all students from Primary, Secondary, Junior Colleges and<br />

Institute of Technical Education (ITE) to Tertiary Institutions, the environment<br />

outreach programme is also jointly co-sponsored by Sembawang <strong>Shipyard</strong>’s<br />

alliance partners, Shell and BP Shipping, which sponsored the top awards<br />

for the Tertiary and JC/ITE levels as well as provided opportunities for<br />

development attachments in their companies.<br />

In his speech, Dr Mohamad Maliki Bin Osman commended Sembawang<br />

<strong>Shipyard</strong> for taking a pro-active role in nurturing and educating the younger<br />

generation on the importance of environmental care and protection.<br />

Mr Victor Savage, Chairman of the Green Wave Advisory Board and one<br />

of the judges, said that the judging panel was impressed by the quality<br />

of the submissions and the “depth of thought, practical knowledge and<br />

environment understanding” demonstrated by the students to address<br />

critical environmental issues and challenges.<br />

Mr Ong Poh Kwee, Deputy President of Sembcorp Marine and Managing<br />

Director of Sembawang <strong>Shipyard</strong>, said: “It is heartening to see more and<br />

more participants for the Green Wave Environment Competition each year as<br />

it shows that our student population is taking an increasingly proactive role<br />

in tackling environmental issues and sharing creative ideas on environmental<br />

care and protection.”<br />

During the event, Dr Mohamad<br />

Maliki Bin Osman and Mr Ong<br />

Poh Kwee also launched the<br />

Green Wave Environmental<br />

Care Competition 2011, to<br />

encourage students’ active<br />

involvement in developing<br />

creative solutions for<br />

environmental conservation.<br />

Sharing ideas with students on environmental<br />

care and protection.<br />

Primary<br />

Secondary<br />

Junior College/ITE<br />

Tertiary<br />

Launching of the Green Wave Environment Competition 2011 by Guest-of-<br />

Honour Dr Mohamad Maliki Bin Osman, Senior Parliamentary Secretary for<br />

National Development and MP for Sembawang GRC (Admiralty), together with<br />

Mr Ong Poh Kwee, Managing Director of Sembawang <strong>Shipyard</strong>.<br />

Prizes School Project Details<br />

1st<br />

Prize<br />

2nd<br />

Prize<br />

3rd<br />

Prize<br />

1st<br />

Prize<br />

2nd<br />

Prize<br />

3rd<br />

Prize<br />

2nd<br />

Prize<br />

3rd<br />

Prize<br />

3rd<br />

Prize<br />

3rd<br />

Prize<br />

Stamford<br />

Primary<br />

School<br />

Corporation<br />

Primary<br />

School<br />

Methodist<br />

Girls’ School<br />

Raffl es<br />

Institution<br />

Hwa Chong<br />

Institution<br />

Hwa Chong<br />

Institution<br />

ITE College<br />

West<br />

Hwa Chong<br />

Institution<br />

Ngee Ann<br />

Polytechnic<br />

Temasek<br />

Polytechnic<br />

ER@Stamford<br />

Hydro-electric<br />

Building (HEB)<br />

The Green Tote<br />

Go Safe the<br />

Green Way<br />

Recycling<br />

Waste Coffee:<br />

From Trash to<br />

Cash<br />

Piezoelectric<br />

Generator<br />

Wind Generator<br />

to Electrical<br />

Supply<br />

The Pressure<br />

Sensitive<br />

Thimble<br />

Washing<br />

Machine<br />

Recycling<br />

Water System<br />

CANs MEAN<br />

CAN!<br />

Endangered plants indigenous<br />

to Singapore were nurtured in<br />

Emergency Rooms (ER) using IV drips<br />

to promote environmental awareness<br />

and conservation.<br />

Kinetic energy from fast-fl owing water<br />

cascading down from tall buildings<br />

was harnessed to generate their own<br />

power supply.<br />

Plastic pouches were collected and<br />

made into fashionable tote bags to<br />

promote recycling and environmental<br />

conservation.<br />

A self-assembled wind turbine was<br />

retrofitted into a car as a generator<br />

to harness kinetic energy to power<br />

light strips when excessively bright<br />

headlights are not necessary.<br />

Waste coffee is recycled into useful<br />

products, including bio-diesel,<br />

absorbents and compost for industrial<br />

purposes as well as air freshener and<br />

an organic insect repellent for home<br />

uses.<br />

A handy and effi cient powering solution<br />

was developed using piezoelectric<br />

generators to harness body vibrations<br />

and movements to power appliances<br />

and portable applications.<br />

An “Air Tap” system was invented to<br />

generate electrical energy by tapping<br />

on wind from air conditioning towers<br />

mounted on top of buildings.<br />

A pressure sensitive thimble was<br />

invented to intuitively release a<br />

consistent rate of water fl ow from<br />

the tap.<br />

A fi ltering system was developed to<br />

recycle output water generated by<br />

washing machines for the next rinse<br />

and wash.<br />

Copper waste material from steel<br />

cans was treated to produce Fe 3+<br />

coagulant – a useful fl occulent for the<br />

treatment of waste water.<br />

Jan-Feb 2011<br />

11


HAPPENINGS<br />

Musical Journey with Marsiling Chinese Orchestra<br />

Marsiling Chinese Orchestra performing to an enthralled audience.<br />

Sembcorp Marine furthered its community outreach<br />

through the sponsorship of ‘Ling III – Time Rhapsody’,<br />

a concert put up by the Marsiling Chinese Orchestra<br />

(MCO) on <strong>January</strong> 14, 2011.<br />

Invited VIPs and guests enjoying the musical<br />

showcase.<br />

The performance, held at the Singapore Conference Hall, is the fourth<br />

major concert performance by the MCO, which was established in<br />

2004 as a collaboration between the Marsiling Citizens’ Consultative<br />

Committee (CCC) and Marsiling Secondary School.<br />

The musical extravaganza, graced by Guest-of-Honour Senior Minister<br />

Mr Goh Chok Tong, captivated the audience with a delightful rendition<br />

Making their presence: (from left) Mr Yam Ah Mee, People’s Association Chief<br />

Executive Director, Mr Hawazi Daipi, Senior Parliamentary Secretary for Health<br />

and Manpower and MP for Sembawang GRC (Marsiling), Guest-of-Honour<br />

Senior Minister Mr Goh Chok Tong, Mr WS Wong, Sembcorp Marine’s President<br />

and Chief Executive Officer, Mrs Wong, and Mr Cheong Khim Teck, Marsiling<br />

Citizens’ Consultative Committee Chairman.<br />

of popular Chinese classics and solo performances of Chinese<br />

instruments before rounding the evening up with a melodic potpourri<br />

of musical genres from different continents.<br />

Mr WS Wong receiving a token of appreciation.<br />

Mr WS Wong, President and CEO of Sembcorp Marine and the Patron<br />

of MCO, remarked: “We are pleased to partner MCO in its efforts<br />

to promote Chinese orchestra education and appreciation within the<br />

community. Besides providing a platform for enthusiasts to showcase<br />

their talents, MCO also plays a key role in fostering closer community<br />

ties through partnership with grassroots organisations, neighbourhood<br />

schools and residents.”<br />

A rousing cheer to cap a brilliant performance!<br />

12<br />

Jan-Feb 2011


HAPPENINGS<br />

Making IDEAS Work<br />

Sembcorp Marine and its<br />

subsidiaries held the annual<br />

Innovation Carnival from <strong>January</strong><br />

18 to 19, 2011 as part of the<br />

Group’s efforts to promote active<br />

contributions and teamwork<br />

amongst its employees in the areas<br />

of work process improvements,<br />

safety and productivity.<br />

Official launch: Mr WS Wong (second from right),<br />

Sembcorp Marine’s President and CEO and Managing<br />

Director of <strong>Jurong</strong> <strong>Shipyard</strong>, officiating the launch<br />

with (from right) <strong>Jurong</strong> <strong>Shipyard</strong>’s Executive Director<br />

Mr Lee Yeok Hoon, Mr Tan Ah Chye, Chairman of<br />

Shipbuilding and Marine Engineering Employees’<br />

Union (<strong>Jurong</strong> <strong>Shipyard</strong> Branch) and <strong>Jurong</strong> <strong>Shipyard</strong>’s<br />

Deputy Executive Director Mr Wang Zijian.<br />

Up and away – Sembcorp Marine’s Innovation<br />

Blimp takes off!<br />

With the theme “Making IDEAS Work”, the<br />

two-day event at <strong>Jurong</strong> <strong>Shipyard</strong> was launched<br />

with much fanfare in the presence of the yard’s<br />

management and employees. Visitors to the<br />

event were treated to a galore of activities<br />

including a showcase of 19 innovations from the<br />

Group’s subsidiaries as well as interactive games<br />

with attractive souvenirs to be won. External<br />

vendors and the Singapore Civil Defence Force<br />

also supported the event with their exhibits and<br />

displays.<br />

Visitors to the event were treated to a galore of<br />

activities including a showcase of 19 innovations<br />

from the Group’s subsidiaries as well as<br />

interactive games with attractive prizes to be<br />

won. External vendors and the Singapore Civil<br />

Defence Force also supported the event with<br />

their exhibits and displays.<br />

Best Displayed Project – Cable Puller Machine by<br />

<strong>Jurong</strong> Electrical Automation.<br />

Adding to the bustling atmosphere, Institute of<br />

Technical Education students from the Higher<br />

NITEC in Offshore & Marine Engineering Design<br />

programme also attended the carnival and had<br />

the opportunity to learn from the innovative<br />

projects featured.<br />

The two-day event ended on a high note with<br />

the Best Displayed Project awards given out<br />

to the most popular exhibits. <strong>Jurong</strong> Electrical<br />

Automation won the top prize with its Cable<br />

Puller Machine while the Suggestion Scheme<br />

from <strong>Jurong</strong> <strong>Shipyard</strong>’s HR Department and<br />

the Grating Safety Barricade from <strong>Jurong</strong><br />

<strong>Shipyard</strong>’s PF Department secured the second<br />

and third positions respectively.<br />

Giving a demonstration.<br />

“Innovation, Why Not?”<br />

To mark the opening of the Innovation<br />

Carnival on <strong>January</strong> 18, 2011, Dr Philip<br />

C. Zerrillo, Visiting Professor of Marketing<br />

at Singapore Management University,<br />

was invited to give a talk on the topic<br />

“Innovation, Why Not?”.<br />

During the talk, participants learnt about the<br />

distinction between innovation and creativity<br />

and the value of harnessing innovation<br />

through collaborations with partners such<br />

as customers and contractors. Dr Zerillo<br />

further emphasised the importance of<br />

innovation in ensuring business success<br />

and sustainable growth.<br />

Mr WS Wong interacting with innovators behind<br />

the project.<br />

Students from ITE checking out the exhibits.<br />

Participants learning about the strategic<br />

value of innovation.<br />

A successful event made possible through innovation and teamwork.<br />

Jan-Feb 2011<br />

13


HAPPENINGS<br />

Living Victorious & AIDS Free<br />

Strong turnout at the workshop.<br />

<strong>Jurong</strong> <strong>Shipyard</strong> employees gained insights into the<br />

prevention of HIV (Human Immunodeficiency Virus) and<br />

AIDS (Acquired Immune Deficiency Syndrome) through<br />

a fun-filled and informative workshop conducted by the<br />

Health Promotion Board (HPB) on <strong>February</strong> 18, 2011.<br />

Titled “Golden Goal! Live a Victorious Life!”, the event was an initiative<br />

by HPB to increase awareness of HIV and AIDS as part of its community<br />

outreach programme. Through an entertaining cheerleading performance<br />

and interactive games, participants learnt about the dangers of HIV and<br />

AIDS as well as measures to steer clear of these deadly diseases.<br />

Kicking his way towards a healthy lifestyle.<br />

Enjoying the presentation.<br />

<strong>Jurong</strong> <strong>Shipyard</strong> and union representatives striking a pose with workshop<br />

leaders from Health Promotion Board.<br />

Staying Fit Emotionally<br />

The first wellness workshop of the year was held on <strong>January</strong> 21, 2011 to equip employees with skills and<br />

techniques to better manage their emotions for effective performance in the workplace and beyond.<br />

During the “Emotional Fitness” workshop, participants were taught ways to overcome stress and stay emotionally fi t. Besides gaining a better<br />

understanding of their inner thoughts and feelings, participants also learnt useful strategies to achieve emotional balance and mental wellness.<br />

Sharing stress management techniques.<br />

Learning strategies to achieve emotional fitness.<br />

14<br />

Jan-Feb 2011


Honouring Loyalty and Long Service<br />

HAPPENINGS<br />

<strong>Jurong</strong> <strong>Shipyard</strong> honoured the contributions of long-serving employees at its annual Long Service Awards<br />

Ceremony held on <strong>January</strong> 22, 2011.<br />

210 staff members who have been with the yard for<br />

10 years or more received tokens of appreciation<br />

and cash awards at the annual event. As a tribute<br />

to these employees for their steadfast loyalty and<br />

invaluable contributions, a congratulatory video<br />

featuring all Long Service Awards recipients was<br />

also specially commissioned for this event.<br />

45 YEARS<br />

40 YEARS<br />

35 YEARS<br />

30 YEARS<br />

25 YEARS<br />

20 YEARS<br />

15 YEARS<br />

10 YEARS<br />

Jan-Feb 2011<br />

15


HAPPENINGS<br />

Hopping on to a Great Rabbit Year<br />

Wishing everyone a happy and prosperous new year!<br />

(From left) <strong>Jurong</strong> <strong>Shipyard</strong>’s Executive Director Mr Lee Yeok Hoon, Head of<br />

Department (Administration) Ms Jessie Lau, and General Manager of Human<br />

Resource Mr Kevin Choong posing as legendary Chinese characters.<br />

Tossing yusheng as a symbol of abundance and prosperity.<br />

The Year of the Rabbit hopped on<br />

to a great start for employees of<br />

<strong>Jurong</strong> <strong>Shipyard</strong> with several funfilled<br />

celebrations in <strong>February</strong> 2011<br />

to usher in auspicious beginnings<br />

for the coming year.<br />

Management and employees of different<br />

nationalities and ethnicities gathered together to<br />

enjoy the Lunar New Year festivities and had a<br />

wonderful time heralding the start of a prosperous<br />

and bountiful year ahead.<br />

Welcoming the Fortune God.<br />

The higher the toss, the better the fortune!<br />

Feasting on a delectable multi-ethnic spread.<br />

All smiles at the joyous occasion.<br />

Lucky winner receiving his hamper prize.<br />

Dolphin is a bi-monthly publication of Sembcorp Marine <strong>Ltd</strong> (Reg. No. 196300098Z)<br />

and its subsidiary <strong>Jurong</strong> <strong>Shipyard</strong> <strong>Pte</strong> <strong>Ltd</strong> (Reg. No. 199908265G). No part of this<br />

newsletter may be reproduced or transmitted by any means or stored in any<br />

16information storage and retrieval system without the publishers’ written permission.<br />

Jan-Feb 2011<br />

Contact us :<br />

The Editorial Team • 29 Tanjong Kling Road<br />

Singapore 628054 • ir@sembcorpmarine.com.sg<br />

For more information, visit us at : www.sembcorpmarine.com.sg • www.jspl.com.sg

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