KS Distribution Pte Ltd

Interview with Pak Kris Wiluan – Managing Asia

ma-pak-kris_thumb

Click here to view the interview

KS in jack-up newbuild teamwork

By TAN HWEE HWEE Singapore
http://www.upstreamonline.com

Jack-up tie-up: KS Energy chief executive Kris Wiluan

Singapore-listed KS Energy and Shanghai Zhenhua Heavy Industries (ZPMC) have teamed up to build a high-specification jack-up drilling unit in Indonesia.

The pair will join forces to build a Friede & Goldman JU2000E jack-up rig in Batam, the first rig of its kind to be constructed in Indonesia.

The rig construction will take place at a 20-hectare yard run by Citra Tubindo, an oilfield equipment manufacturer also owned by KS Energy’s Indonesian-born chief executive Kris Wiluan.

ZPMC will supply the parts and components required for construction of the F&G JU2000E.

The rig will take at least 24 months to deliver, suggesting its delivery will take place at the earliest during the second half of 2015.

No commercial terms were released on the cost of the high specification jack-up rig, but it is expected to fall within the under $250 million going price for an F&G JU2000E unit.

The latest rig building venture with ZPMC signifies Citra Tubindo’s first move into offshore rig building business.

Citra Tubindo has 30 years of experience in manufacturing oilfield equipment and has recently delivered two land rigs now understood to be drilling at ExxonMobil’s Banyu Urip oil project in Cepu, Indonesia.

The venture into offshore rig building is in line with the vision of Wiluan to contribute to the maximisation of Indonesia’s oil and gas spend within the country.

By his estimate, Pak Kris – as he is often addressed within the industry – said Indonesia spends about $15 billion to $20 billion a year on oilfield services and materials, a large part of which is still “done outside the country”.

He estimates the major South-East Asian oil and gas producing country will require at least 30 land rigs and 10 jack-up rigs within the next three to five years.

“It is our intention to maximise expenditure in the country,” he said.

KS Energy has concurrently formalised a 49:51 joint venture with Indonesia’s state-owned Pertamina Drilling to own and operate onshore and offshore drilling units.

The joint venture now owns and operates the two land rigs on charter to ExxonMobil at an announced contract value of $98 million.

It also owns and operates a recently upgraded Indonesian-flagged rig, KS Java Star 2, which went on a two-year contract with Pertamina Hulu Energi in the West Madura Offshore (WMO) production sharing contract, on delivery from Singapore-based Keppel Fels earlier this year, according to Pertamina Drilling’s president-director Faried Rudiono.

The KS Energy-Pertamina Drilling joint venture is in talks with Pertamina Hulu Energi on a further contract extension for KS Java Star 2 to support the massive drilling campaign lined up in WMO block over the next two years, Faried told Upstream.

The present two-year contract at WMO block is valued at $87.6 million, according to KS Energy.

KS Energy has acquired a F&G Super M2 jack-up unit to be named KS Java Star 2, from ZPMC, also to be owned and operated under its joint venture with Pertamina Drilling.

KS Java Star 2 is scheduled to be delivered from ZPMC during the first half of 2014 and is understood to be offered for a contract with Pertamina Hulu Energi’s Offshore Northwest Java PSC.

Great leap ahead for KS Energy

By TAN HWEE HWEE Singapore
http://www.upstreamonline.com

KRIS Wiluan, the Indonesian-born chief executive of Singapore-listed KS Energy, is taking a big step towards his ambition of seeing Indonesia able to provide the full suite of oilfield services by lining up a deal to build a jack-up drilling rig at his Batam facility.

Over the weekend, Kris unveiled a potential collaboration between KS Energy and Shanghai Zhenhua Heavy Industries (ZPMC) to jointly build a Friede & Goldman JU2000E jack-up rig at Citra Tubindo, an oilfield equipment manufacturer also owned by Kris.

Now occupying 20 hectares of land within Kris’s 600-hectare Kabil Industrial Estate, Citra Tubindo was set up in the 1970s to fulfill his vision of maximising oil and gas investment stemming fom Indonesia’s hydrocarbon production within the country.

Indonesia spends about $15 billion to $20 billion on oilfield services and products every year, according to Kris. By his estimate, the percentage of oilfield services spending going to domestic players has risen to as much as 50%, a vast increase since the 1970s, but Kris feels more can be done within the country.

Over the past 30 years, Citra Tubindo has expanded its customer base from the east to the west. Aside from sales within Asia, its products are reportedly sold to Japan, the US and the Middle East.

Kris’s latest ambition is to get involved in the construction and supply of Indonesian drilling units — both onshore and offshore rigs — at his Batam-based facility.

Citra Tubindo has already delivered two “walking” land rigs to KS Energy and its state-owned partner for Indonesia-focused company Pertamina Drilling.

The land rigs have started drilling at the ExxonMobil-operated Banyu Urip oil project in the Cepu block and are beating the projected work schedule on the planned wells, according to Kris. Building a jack-up drilling unit will be the next logical step up for Citra Tubindo and partnerships with other seasoned rig builders in Asia would ease its entry.

The partnership with ZPMC, assuming it is finalised, will see the Chinese rig builder supply the parts and components to Citra Tubindo for the construction of initially one F&G JU2000E unit.

ZPMC is also the majority shareholder of Houston-based rig design house F&G, but the commerical terms of the potential licensing agreement for the JU2000E design with Citra Tubindo remain undisclosed.

No cost projection has been made available for Citra Tubindo’s first JU2000E unit, although it is widely expected to fall under the $250 million bracket, the going price for similar rigs in the market.

Kris sees potential to extend the rig building partnership with ZPMC to a second JU2000E. But he is also keen to engage seasoned Singapore rig builders SembCorp Marine and Keppel Fels, which account for 70% of the world’s modern jack-ups.

The first JU2000E to be built at Citra Tubindo is expected to hit water within 24 months and will be marketed worldwide.

Indonesia will need as many as 10 jack-ups in the near-term, although these are likely to be 300-foot to 350-foot units, according to Kris. He also sees demand for at least 30 land rigs for Indonesian operations, with Pertamina Drilling primed to invest in one or two newbuild units annually.

Pertamina Drilling is close to sealing a newbuild deal with Citra Tubindo for another land rig, he added.

New distributorship secured – Tranter Heat Exchanger

KS Flow Control, a subsidiary of KS Distribution Pte Ltd, has obtained the distribution rights to sell Tranter Heat Exchanger, an energy saving, high performance, ease of installation/ maintenance product necessitate for storage tank and terminal.

Tranter Plate Coil principle, compare to conventional Pipe Coil, delivers more efficient, economical and uniform heating and cooling to any application whether to lower viscosity to ease flow or maintaining constant temperature to prevent product crystallization.

Infineum, Cheveron and Oil Tanking are among some of renowned industrial players using Tranter Plat Coil heat exchangers with wide-arranging application from jacketed-tanks & vessels, suction heaters, heat recovery banks, storage tanks heaters, to shipboard heaters & coolers.

In addition to Oil and Chemical storage application, there is also a vast opportunity for Tranter product in the Marine Industry particularly on-board FPSO as well as FSO vessels.

For enquiries and additional information, please send to: enquiry@ksenergy.com.sg

OSEA 2012

December 13, 2012KS DistributionEvents

KS Distribution participated in the 19th International Oil & Gas Industry Exhibition & Conference (OSEA 2012), held in Marina Bay Sands, from 27th November to 30th November 2012.

KS Distribution sales & marketing personnel from both local and overseas offices, together with our principals, showcased a wide array of products and competencies from Upstream to Downstream Oil & Gas as well as the Marine industries.


Highlights from OSEA

OSEA 2012 Networking Night

December 13, 2012KS DistributionEvents

KS Distribution held a special Networking Night at Harry’s Bar (Marina Bay Link Mall) on 29th  November 2012, on the sidelines of OSEA 2012 to network with our customers, principals and valued partners. A total of 210 attended this Networking Night.

On behalf of KS Distribution’s Management and staff, we would like to thank you for your presence and making this event a special and memorable one.


Highlights from our event

Participation in HSBC Corporate Responsibility Challenge 2012

As part of our Corporate Social Responsibility (CSR) Programme to support meaningful causes, our colleagues together with HSBC staff devoted a day to thoroughly clean and paint, pack and unclutter, and build a conducive study area for need children in their homes to support their learning and development.

HSBC Corporate Responsibility Challenge

 

Volunteer with Heart

As a part of our commitment and corporate social responsibility initiatives, KS Energy Group has launched a Volunteerism project, providing funding and support to the Muscular Dystrophy Association of Singapore (MDAS) , a Voluntary Welfare Organization (VWO) committed to uplifting the lives of people with Muscular Dystrophy. KS Energy Group has collaborated with a card making company, Stirring heart (a Singapore Polytechnic Young Entrepreneur Company) to engage our friends from MDAS to make special birthday cards for our employees. These cards will be personally signed by our Chairman, Mr Kris Wiluan and will be given to the employees on their birthday, together with a $20 shopping voucher. KS Energy staff volunteers will assist our friends from MDAS to make the birthday cards at the association’s office in Bishan.

OSEA 2010

February 28, 2012KS DistributionEvents

KS Energy Group participated in the 18th International Oil & Gas Industry Exhibition & Conference (OSEA), held in Suntec Convention Center, 30 November to 3 December 2010. Occupying the prime position boot at hall 402, KS Energy Group showcased their many established products ranging from oil & gas, marine to petrochemical. Mr. S Iswaran, Senior Minister of State, Ministry of Trade and Industry, Ministry of Education, Singapore, visited our booth and was warmly welcome by our Chairman, Mr. Kris Wiluan and Mr. Koh Soo Keong, the former CEO of KS Distribution.

KS Energy Limited Financial Results

February 22, 2012KS DistributionNews

Please click here for the latest results

RELATED COMPANIES
EVENTS