Conglomerate Keppel Corp’s offshore and marine unit signed a shareholders’ agreement with Russian oil firm Rosneft and Norwegian drilling equipment firm, MHWirth, to set up a Singapore incorporated joint venture company.
The company will establish a design and engineering centre in the Russian Federation, with initial projects from Rosneft for work related to shallow water platforms, Singapore’s Keppel Offshore and Marine said in a statement last week.
It will also seek work from other Russian and international customers.
Keppel O&M and Rosneft will have shares of 45 percent each in the joint venture, while MHWirth will hold 10 percent. The joint venture and the centre will adhere to existing U.S. and European Union sanctions imposed on the Russian offshore oil and gas sector, it said.
The deal comes as Singapore’s Prime Minister Lee Hsien Loong makes his first bilateral visit to Russia.