Seatrium’s shares jump over 10% after it inks MOU with BP for second deepwater production unit

SINGAPORE - Seatrium’s shares rallied more than 10 per cent on Feb 13 after its announcement of a second project with oil and gas giant BP to build a deepwater floating production unit (FPU).

In a filing before the Singapore market opened, Seatrium said it had inked a memorandum of understanding (MOU) with BP Exploration & Production to provide engineering, procurement, construction and commissioning services for the Tiber FPU.

Seatrium’s shares jumped on the news to a morning high of $2.49, up 8.3 per cent from the previous day’s close. The counter closed 10.87 per cent higher at $2.55 on Feb 13.

The Tiber unit will support the development of BP’s deepwater assets in the

Gulf of Mexico, renamed the Gulf of America by US President Donald Trump.

Its contract award is subject to BP’s final investment decision, anticipated later in 2025, Seatrium said. 

The latest agreement builds on Seatrium and BP’s partnership on the Kaskida FPU project. Seatrium announced the contract win for that project in December 2024. Like the Tiber project, the Kaskida field is located off the coast of New Orleans. 

“The Tiber (agreement) aims to leverage lessons learnt and technological advancements achieved from the ongoing Kaskida project to achieve operational excellence for the successful completion of the Tiber floating production unit,” Seatrium said.

Formed from the merger of Sembcorp Marine and Keppel Offshore & Marine, Seatrium offers offshore renewables, new energies and cleaner offshore and marine solutions.

In January, Seatrium announced it had secured a contract from Japan-based Penta-Ocean Construction to carry out the engineering, procurement and construction for a 5,000 tonne fully revolving heavy lift vessel project for the Japanese offshore wind market.