December 16 - Keppel Verolme BV has decided, after evaluating all possible options, to terminate the MPU Heavy Lifter project and commence the scrapping process of the concrete hull.
Keppel Verolme, a wholly owned subsidiary of Keppel Offshore and Marine Limited, has secured the necessary rights and endorsements from third parties to dismantle and dispose of the concrete hull which has no commercial value. This will release the drydock and other valuable resources for Keppel Verolme.
Dismantling works on the unit is expected to commence in January 2009 and will be completed in about three months.
The aforesaid project was contracted with MPU Offshore Lift ASA in December 2006 at EUR 140 million for the construction of a floating heavy lifter (with a concrete hull) for the decommissioning of offshore structures. Keppel Verolme ceased work on the project after MPU Offshore Lift filed for bankruptcy in July 2008.