UAE-based MIS (Maritime Industrial Services) Group, a diversified engineering and contracting group focused on the energy sector, has announced the signing of two contracts in its Kuwait business with Weatherford Drilling International (BVI) Ltd through Weatherford’s Kuwait branch, United Precision Drilling Company. The projects, valued at over $2.5 million, cover fabrication work for rig components.

The MIS Kuwait business, now in its 20th year of operations, has three revenue streams: an API-licensed oilfield machine shop, an ASME-certified fabrication yard and a technical services division. The Weatherford projects involve the fabrication of a high-pressure stand pipe and manifold with a working pressure of 7,500 psi and an EPC project for a double-walled fuel tank in addition to water and mud reserve tanks. Both projects are expected to be completed by early October.

'Over the past several months we have re-organised the Kuwait business to build on its strengths in the fabrication of drilling rig components such as mud systems, silos, tanks and piping vessels and to leverage its certifications in specialised engineering and fabrication work,' commented Kevin Hudson, MIS managing director. 'With significant investment being directed into the oil sector in Kuwait, we are confident that we can grow this business over the coming few years.'

Gasco contract

Also recently the MIS Group announced the award of a contract in its Litwin engineering services division with Abu Dhabi customer Gasco.

The scope for the project with Gasco covers a lump sum EPC (engineering, procurement and construction) contract 'EPC of Habshan oily water sump.' This entails moving the current sump to a new location and modifying it to an ‘open’ type sump with hydrocarbon skimming facilities and a new system to transport the free floating hydrocarbons to the end facility, thereby minimising hazards. The Habshan gas processing complex, operated by Gasco at one of Abu Dhabi’s primary onshore gas fields, has a processing capacity of 4,750 BSCFD.

This is mainly a civil construction job with some piping fabrication and mechanical installation works for the pumps (four main VS4 pumps + 1 small pump). The civil construction involves the following: construction of a new sump, a new valve pit, four new manholes, a small access road to the new sump, steel beams, handrails, ladders, gratings, pipe supports, pipes, cable trenches and road crossings.

The piping work involves tie-ins (5 nos.), pipe routing for utility water and instrument air, underground galvanised carbon steel line (3') about 1km. and above ground carbon steel line (4').

The mechanical work involves the installation of two effluent water pumps, two slop oil pumps and a floating oil skimmer package plus pump

'The Litwin acquisition last year formed a key pillar of MIS’ strategy to strengthen our footprint in Abu Dhabi’s EPC market,' commented Hudson.

Other contracts

In other news, Hull 108, the latest jackup in Maritime Industrial Services’ (MIS) ongoing rig building programme, has returned to the company’s Sharjah yard for finishing and commissioning.

The rig, which is due to be delivered before end-2011, was loaded out in April to Dubai Dry Docks.

An MIS field team working on a project

MIS is also performing reactivation works on NDC’s Al Bzoom jackup. The drilling package was recently completed.

MIS’ EPC & Fabrication division is making good progress on the assembly and load-out of 6,000 tonnes of piles and conductor pipes for Essar Offshore Subsea.

The project is more than 60 per cent complete and on schedule., the company said in early June. ONGC is the ultimate customer.

MIS’ Rig Metals division has completed a modification programme on a semisubmersible drilling rig as it was being towed to its end destination.

The division supplied welders, fitters, inspectors and painters for the project, which involved surveys, engineering, and pre-fabrication in the Dip yard before the crew boarded the rig.

Modifications were supervised by ABS, and completed during the voyage. The work included LP and HP piping, structural additions, and modifications.

In an important development earlier this year, MIS received a final payment of $17.1 million, following the delivery and acceptance of MENAdrill II (Hull 110) for its client MENAdrill Investment Company (MENAdrill), an oil and gas drilling services company launched in 2008 by Bahrain-based First Energy Bank.

MENAdrill II is the second rig to be delivered to MENAdrill following the delivery of Hull 109 (MENAdrill I) in November last year, and the fifth rig to be delivered by the MIS Group. Construction of the Friede & Goldman (F&G) designed Super M2 rig, was supervised by a team from GL Noble Denton on behalf of the owner.

'With five rigs now delivered and with four of those operational in different parts of the world, the MIS newbuild programme has gained an extensive level of expertise and firmly established its credentials in the construction of offshore jack-up drilling rigs,' commented Hudson. 'We are delighted to mark this milestone with the MENAdrill team.'

In MIS-related newbuild news, MIS’ Hull 108, was loaded out last recently to Dubai Dry Docks and will return to MIS’ Sharjah yard for finishing and commissioning. The rig is targeted for completion in 2011.

Lamprell plc, the London Stock Exchange listed offshore services company, announced that it has reached an agreement with Oslo-listed engineering contractor Maritime Industrial Services Co Ltd Inc to launch a recommended voluntary cash offer for 100 per cent of the shares of MIS through its wholly-owned subsidiary Lamprell Investment Holdings Ltd. The consideration for each share under the offer will be NOK 38 ($6.9) payable in cash, valuing the total issued and to be issued share capital of MIS at approximately NOK 1.86 billion.

MIS’ net income for the year at $35.7 million was 23 per cent higher than in 2009.