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20th Dec, 2012  |  General News

Kentech enters into 50:50 Joint Venture Partnership in Australia

Kentech and Southern Cross Electrical Engineering (SCEE) have created a 50:50 Joint Venture called KSJV to capitalise on unprecedented levels of demand for Electrical and Instrumentation (E&I) construction works for large-scale LNG projects.

The JV Agreement, which is focused on Australian onshore LNG processing facilities, is for an initial five year period with an option to extend beyond that date subject to mutual agreement.

Kentech have successfully delivered many large-scale E&I projects on some of the world’s largest gas/LNG projects, including the LNG Plant as part of the Sakhalin 2 Development in Russia where we delivered 6.1 million manhours LTI free and the AGD II (Asab Gas Development) Project in the UAE where we completed 5 million manhours LTI free.  SCEE also brings prior LNG experience to the JV and successfully completed off plot E&I construction activities for Woodside’s Pluto LNG plant in 2011.

The combined KSJV will maximise Kentech's extensive international skills and capacity, while adding SCEE’s existing local content, significant apprentice programme and commitment to indigenous employment and training.

Kentech Chief Executive Officer Sarah Kent said: “Together, Kentech and SCEE have forged a powerful partnership, which will capitalise on the strengths of our two organisations in E&I services. KSJV bring large scale capacity and capability to the LNG projects through the combination of an established local footprint, international large scale LNG expertise and a proven joint track record. The success of the joint venture will be built not only on the pooling of our resources, but our years of industry experience, logistical strength and both local and international knowledge. At Kentech we are looking forward to building the success of this partnership over the coming years.”

SCEE Chief Executive Officer Simon High said: “Never in the history of Australia have there been so many world-scale LNG projects in development at the same time - including Gorgon, Wheatstone, Ichthys, QGCLNG, APLNG and GLNG - as well as pre FID projects such as Browse, Arrow, Pluto and Gorgon expansions.”

“The JV underpins our strategy of expanding our onshore LNG capabilities in line with the expected industry growth over the next five to seven years and provides us with the necessary scale and capacity to deliver E&I works for a sizeable proportion of these projects.”

“SCEE and Kentech share a similar approach and commitment to safety, transparency and performance and I am extremely pleased we have embarked upon this partnership.”

TAGS: #Joint Venture  #LNG  #Australia