Singapore’s COSCO Shipping Marine Engineering Enters Strategic Cooperation Agreement for Oil and Gas Projects

Singapore-based COSCO Shipping Marine Engineering (CSME) has signed a non-binding strategic cooperation agreement with compatriot Union Steel Holdings and China Offshore Engineering Solutions (COES) to collaborate in executing oil and gas projects in the region.

Together, the trio will embark on various projects, including offshore construction for oil and gas installation, decommissioning of offshore platforms in Southeast Asia, international ocean towing, and heavy lift transportation by semisubmersible vessels.

About the Companies Involved

CSME, a subsidiary of COSCO Shipping International (Singapore), specializes in ship repair and marine engineering activities. Services offered by CSME include annual inspection, ship store supply, fabrication work services, and production of outfitting components.

Union Steel Holdings is a diversified investment holding company with core business activities in metals, scaffolding, and engineering. The company also manufactures engineering and deck equipment, primarily catering to the offshore and marine industries.

COES, also known as Shanghai Salvage Company, is the state-owned international offshore marine construction arm of the Chinese Government Ministry of Transport. The company focuses on salvage, wreck removal, oil recovery, marine environment protection, and other offshore construction engineering activities.

Recent Developments

Cosco Shipping Heavy Industry, another subsidiary of COSCO, recently completed the construction of Yinson Production’s production, storage, and offloading (FPSO) vessel at its Shanghai shipyard. The FPSO vessel is set to operate offshore Angola for 15 years, with the possibility of extending for an additional five years.

The FPSO vessel was towed over 10,000 nautical miles from China to Angola, arriving at its destination in mid-May.