South Korea's Samsung Heavy Industries said on Tuesday that it has signed a $3.026bn order for LNG-FPSO for Royal Dutch Shell after receiving a Notice to Proceed (NTP) with construction of the facility from the oil major.
The contract for an LNG floating production storage and offloading vessel (FPSO) expires September 30, 2016, Samsung said in a regulatory filing.
Samsung revealed $3.026bn includes $1.175bn for Hull inked on April 15 2010.
With this latest mega offshore facility order, Samsung has penned new orders worth $10.5bn so far this year, achieving 91% of its annual order target of $11.5bn.
Meanwhile, Shell Development (Australia) Pty Ltd and Technip-Samsung consortium held a ceremony for NTP for the world's first LNG-FPSO at Samsung's Geoje shipyard on May 30.
The consortium will conduct engineering, procurement, construction and installation on the LNG-FPSO to be deployed into Prelude gas field off northwestern Australia.
Detailed designing of the facility will be done in France and Malaysia and constrcution will be carried out at Samsung's Geoje yard.
Steel cutting is scheduled for early next year for the Prelude LNG-FPSO which will produce 3.6m tons of LNG, 1.3m tons of condensate and 0.4m tons of LPG per annum from 2017.