Singapore’s Keppel shipyard on Saturday held a naming ceremony for the Lam Son Floating Production Storage and Offloading (FPSO) vessel.

It took 22 months for Keppel to convert the vessel into an FPSO from an old tanker. The FPSO will be deployed in the Thang Long and Dong Do oil fields which are located in the Cuu Long Basin, offshore Vietnam.

The Lam Son FPSO will be capable of producing 15,000-20,000 barrels of oil per day (bopd) and has a storage capacity of up to 650,000 barrels of oil.

The FPSO is jointly owned by PetroVietnam Technical Services Corporation (PTSC) and Malaysia’s Yinson Holdings Berhad (Yinson). In 2012, the joint venture  signed a charter deal to provide the FPSO to Lam Son Joint Operating Company (“LSJOC”). Lam Son is a Joint Operating company established by Petronas Carigali of Malaysia (50%) and PetroVietnam Exploration Production Corporation (PVEP) of Vietnam (50%).

The contract is for a firm period of seven years with an option to extend a further period of three years.The total contract value, including the three-year option, is USD737.30 million (approximately RM2.35 billion). The charter is expected to become effective in June 2014.