Mr Teo Ser Luck at the Naming Ceremony for ENSCO’S Ultra Deepwater Drilling Rig ENSCO 8504, 18 June 2011

SPEECH BY MR TEO SER LUCK, MINISTER OF STATE FOR TRADE AND INDUSTRY, AT THE NAMING CEREMONY FOR ENSCO’S ULTRA DEEPWATER DRILLING RIG ENSCO 8504 ON SATURDAY, 18 JUNE 2011, 10.00AM AT KEPPEL FELS

Mr Azren Taib, CEO of Petroleum Brunei

Mr Pierre Gie, E&P Strategy, Contracts, and Quality, TOTAL

Mr Daniel Rabun, Chairman, President and CEO of Ensco plc;

Dr Lee Boon Yang, Chairman of Keppel Corporation

Mr Choo Chiau Beng, Chairman of Keppel Offshore & Marine;

Mr Tong Chong Heong, CEO of Keppel Offshore & Marine

Introduction

Good morning. To our visitors and friends from across the world, a warm welcome to Singapore. I am very pleased to join you here today for the christening of the ENSCO 8504 semisubmersible rig.

This is my first visit to Keppel FELS, and being in the presence of these massive offshore rigs is a truly remarkable experience. I am told that while they might look similar, no two rigs are quite alike. In fact, each rig built here is a unique piece of equipment complete with various types of advanced technology, customised to meet the needs of their owners

Strong prospects for the marine & offshore industry

In addition to the ability to offer customised solutions, our shipyards have long established a strong reputation for quality and timeliness. These have helped Singapore to establish and maintain our global leadership position in the marine & offshore industry. We produce 70 per cent of the world’s jack-up rigs, and about 50 per cent of the world’s semi-submersible rigs. In 2009, the manufacturing output of the industry was $19.5 billion Singapore dollars, which represents 9 per cent of our total manufacturing output.

The long-term prospects for this sector remain bright and this should be encouraging news for students who recently graduated from our local universities. This industry offers many opportunities in engineering, as well as research & development, to develop complex and sophisticated products such as these rigs. I understand that at the undergraduate level, we have about 200 students per year graduating from marine & offshore-related courses in Singapore. At the postgraduate level, there are newly established programmes in Offshore Technology and Naval Architecture & Marine Engineering. These new courses will train more talent required for this exciting industry.

Growing R&D capabilities for the marine & offshore industry

In addition to growing the local talent pool, we are also investing in public sector R&D to support and enhance industry R&D in Singapore. The Maritime and Port Authority of Singapore, the Agency for Science, Technology and Research (A*STAR) and the Economic Development Board have jointly established the Singapore Maritime Institute to drive the research agenda for areas such as Naval Architecture & Marine Engineering, Offshore & Subsea Systems, Oilfield & Downhole Systems, Port & Shipping, and Maritime Services. Key research areas currently identified include specialised vessel design, deepwater platform design & oil production and composite materials.

Through these various initiatives, we aim to strengthen our role as an integrated global marine and offshore hub that offers world-class leading-edge capabilities with a comprehensive ecosystem of shipyards, marine and oil & gas equipment companies as well as services such as classification, naval architecture and marine & offshore engineering.

Conclusion

While Keppel and Ensco celebrate their success, I am heartened to learn of their generous gesture in giving back to the community. Your donation to the Children’s Cancer Foundation will go a long way in improving the quality of life for the young patients and their families.

On this note, I would like to wish Ensco and Keppel continued success on their future collaborations. Thank you.