Paving routes to successBold visionary - Keppel Land China · to build on their operational...

Bold visionaryPaving routes to successMCI (P) 153/01/2014

August 2014www.kepcorp.com/ekeppelite

Staying the course 4

Propelling ahead

with new deals 21

Caring for the

community 45

Keppelite I August 2014

16

Contents

CO REG NO: 196800351N

40

Cover image: Singapore’s Prime Minister Lee Hsien Loong (centre, in pink shirt) highlighted Keppel as a company with multiple pathways to success for its employees, and personally did a video interview of Keppelites (pictured from right to left) Dorothy Han, Section Manager, Engineering (Piping), Keppel FELS; Abu Bakar Mohd Nor, CEO, Nakilat-Keppel Offshore & Marine; and Roy Lim, Shipyard Manager, Keppel FELS, for this year’s National Day Rally

Published for people in the Keppel Group by the Group Corporate Communications Division, Keppel Corporation Limited, 1 HarbourFront Ave, #18-01 Keppel Bay Tower, Singapore 098632. Printed by Image Printers Pte Ltd, Blk 1002, Redhill Industrial Estate, Jalan Bukit Merah, #03-12, Singapore 159456.

Editorial AdvisorWang Look Fung

EditorRoy Tan

Editorial CommitteeAng Lai Lee, Candice Low, Carol Huang, Cheryl Goh, Chew Chong Peng, Dale Lai, Donald Sng, Eileen Tan, Elizabeth Widjaja, Eva Ho, Frances Teh, Fairuz Aledroos, Grace Chia, Hayley Teo, Hoo Yao Lin, Ian Long, Ivana Chua, Jayne Yeo, Kevin Ho, Lee Chin Siang, Lee Wan Jun, Liang Hui Hui, Maria Kozhanova, Mia Liu, Priscilla Chong, Razali Maulod, Sam Neo, Say Huan Yuan, Serena Toh, Sue Ann Huang, Teri Liew, Tracy Pham, Woon Pek Yong, Yolanda Guo, Yu Zehan

SUSTAINING GROWTHStaying the course 4

Maintaining financial resilience 10

Conversations with investors 13

Steady performance 16

Top in governance and transparency 18

World’s largest jackup rig delivered 19

Growing with new partnerships 20

Propelling ahead with new deals 21

Preferred port of call 22

Marking progress 23

SPeCIAl FOCUSPaving routes to success 24

Onward Singapore 29

Winning developments 30

AIpha eyes launch of China retail fund 31

Cherished ties 32

In dialogue 34

Excellence in safety 35

Spurring InnovationsLined up for breakthrough 36

Beacon of knowledge 37

Refreshing brands

Joint readiness 38

eMPOWeRING lIVeSGrowing the Keppel family 39

Gaining insights

Competition heats up 40

Keppelites Around the WorldWorld of opportunities 42

NURTURING COMMUNITIeSNurturing through the arts 43

Doing good 44

Keppel VolunteersCaring for the community 45

BACK PAGeFirst bite into the Big Apple 48

32


Editorial


Many pathways to success

Many organisations declare “People” to be their greatest asset. But coming up with effective human capital strategies to produce and retain the best employees remains a constant challenge. In Singapore, where our small size means a smaller talent pool, it becomes even more pressing to ensure that every person counts.

As our island city transformed from third world status to the first within a short few generations, Singaporeans have witnessed the importance of a good education to climbing the economic and social ladder. But it may be the case that the pendulum has now swung too far to one side, with many becoming obsessed with the paper chase and fixated with the idea it is the only way to scale career heights.

In reality, different people have different aspirations, different inclinations, and develop differently at the various stages of their lives. The variety of opportunities and jobs available, sometimes even within one company, can be wide and require different skillsets. The key to harnessing human capital energy therefore lies in the ability to understand, match and support such diverse capabilities and aspirations.

The Singapore Government understands this and it formed the Applied Study in Polytechnic and ITE Review (ASPIRE) Committee early this year, to find ways to enhance learning and career prospects for non-degree holders.

For Keppel, it is a matter of first survival and now sustaining growth for us to be able to nurture people to realise their potential regardless of their background. Our offshore and marine business is inherently labour-intensive, and we need to make every employee productive to combat rising competition. Jobs at the yards also require a variety of skillsets, and often expertise is honed through on-the-job training over many years.

As we expand in scope and move up the value chain, a higher level of performance is expected of our employees. While this can sometimes be achieved with higher education, it does not mean we automatically eschew employees without paper qualifications. In fact, we remain focused on shared core values with employees, practical work experience and proven capabilities. We complement this with wholehearted support for further training and further education when these efforts serve as a multiplier of their capabilities.

We have in place varied paths to help employees advance in their careers, regardless of their starting qualifications. We also make our Keppelites feel valued and provide opportunities for them to make it to the top as long as they have the right attitudes and mindset.

The results speak for themselves. Propelled by a committed workforce, Keppel has grown to become a global leader in the offshore and marine industry.

Our proven human capital strategies did not go unnoticed in Singapore’s search for exemplary models. Singapore Prime Minister Lee Hsien Loong visited Keppel Offshore & Marine and went away fully convinced that our strategies work. He used Keppel as a powerful case study in his National Day Rally on 17 August 2014. His key message was that there are many pathways to success and we should look beyond qualifications. It was a proud moment indeed when PM Lee said “Well done Keppel!” in his Rally over national TV.

The road ahead continues to hold promise for all Keppelites, present and new, regardless of starting points. We can aspire to continue to learn, grow and succeed with a great company.

4 sustaining growth


4 sustaining growth

staying the courseReporting a consistently positive performance, Keppel Corporation announced a net profit of $406 million in 2Q 2014, a 17% growth from a year earlier. Mr Loh Chin Hua, CEO of Keppel Corporation elaborated on the group’s performance and developments at the results briefing, which is reproduced here.

T h e g l o b a l e c o n o m y seems to be navigating through this per iod of change quite well. The US and European economies appear to be on track in their recoveries, although the former is probably in a stronger position.

Recent l y, there was a sell off in a Portuguese bank, Banco Espirito Santo which triggered concerns t h a t t h e E u r o p e a n recovery, especially in those countries that had needed bailout, would somehow be derai led. Although the problems at Banco Esp i r i to Santo and i t s holding company appear to be company specific, the

make our plans on the basis that the global economy is on a firmer footing for modest growth with policy makers making the right decisions, whilst keeping a watchful eye on what could potentially flare up to change this reasonably favourable outlook.

Against this backdrop, our business divisions continued to build on their operational strengths, contr ibuting positively to a net profit of $406 million in 2Q 2014, or a 17% growth year-on-year.

On a half yearly basis, net profit rose to $745 million in 2014, almost 6% above the same period in 2013. Annualised Return on Equity (ROE) was 14.3% while Economic Value Added (EVA) was $341 million for the period.

To reward shareholders, the Board of Directors a p p ro v e d a n i n t e r i m distribution of 12.0 cents per share for 1H 2014.

Despite some uncertainties in the global economy, we remain confident of the long-term fundamentals in our key bus inesses and industries.

market nervousness shows that the recovery in Europe is still frail and tentative.

Closer to home, there are still some concerns that the slowing Chinese economy may be headed for a hard l and ing desp i t e some evidence to the contrary. In Japan, Prime Minister Abe’s economic revival plan appears on track, and has been well received by the market. Chairwoman of the US Federal Reserve, J a n e t Ye l l e n ’s r e c e n t announcement that the central bank does not see short term capital market exuberance as a potential threat to the f inancia l system, and the signal that

the easy monetary policy would be maintained – to counteract a slowdown from the Fed’s tapering – gave the market much cheer.

The global economy has pe r fo rmed reasonab l y well and the markets have reacted favourably thus far. Goldilock’s porridge has been served just right by the policy makers – neither too hot nor too cold. That said, considerable risks still exist to derail this happy confluence of market, economy and policies. Tensions in various hotspots such as Ukraine, Syria, Iraq, Iran, and the South China Sea threaten to boil over. We have to

Mr Loh Chin Hua, CEO of Keppel Corporation shares on the Group’s performance and developments in 1H 2014


sustaining growth 5

OFFSHORe & MARINeIn recent years, global oil consumption growth has exceeded production by a wide margin, aggravated by declining oil fields worldwide and supply disruptions from major oil-producing countries particularly in the Middle East and North Africa. As macroeconomic conditions improve, global oil demand growth is set to rise by about 1.2 million barrels per day in 2014 and another 1.4 million barrels per day in 2015.

Hovering at above US$100 a barrel over the last three years, Brent oil price has been high but remarkably stable, and continues to support global exploration and p roduc t ion ( E&P ) spending. In spite of what we believe to be a temporary,

selective pullback by some oil majors, global E&P spending is forecast to grow by 6% to US$712 billion this year, and will further improve in 2015 with increasing investments by national oil companies.

Amidst concerns of capital e xpend i t u re cu tback s and softening day rates particularly in the ultra deepwate r sec to r, we continue to experience good enquiries for jackups and semisubmersibles (semis) in addition to other offshore vessels in our suite of proprietary offerings.

In 1H 2014, Keppel Offshore & Marine(O&M) secured $3.2 billion worth of new contracts. Among these are our first Floating LNG (FLNG) vessel conversion

Keppel O&M secured $3.2 billion worth of new contracts in 1H 2014

Continues on page 6...

project from Golar LNG and five newbuild jackup rigs including the first KFELS N Plus jackup for China. We also partnered the Seafox Group on a study to develop one of the world’s first plug and abandonment jackups with accommodation for subsea fields reaching the end of their productive lives.

We are heartened that returning customers as well as new customers across the world continue to place their confidence in Keppel’s proven track record for safe, on-time and on-budget deliveries, and ability to provide the best value proposition to them. As at end-June 2014, our net orderbook stood at $14.1 billion, with a healthy spread of offshore and marine projects, spanning

newbuild jackups and semis, Floating Production Storage and Offloading (FPSO) and FLNG vessel conversions, as well as other construction, upgrading and repair work.

Our yards are executing well. The first three DSS™38E semis that we are building for Sete Brasil are progressing efficiently and on schedule. To date, we have achieved 70% completion on the first unit, which arrived at our yard in Brazil earlier this year. The second semi is now over 30% completed and is scheduled to depart Singapore for Brazi l in the fourth quarter of this year. Meanwhile, the third unit is in initial stages of construction.

6 sustaining growth


Semis for Sete Brasil on schedule:

• 1st unit: Completed about 70%

• 2nd unit: Achieved over 30%

• 3rd unit: In initial stages Major projects undertaken by BrasFELS such as the three FPSO integration projects for Petrobras and MTOPS are on track as well.

...continued from page 5.

the skills and productivity of our global yards. We stand committed to our Near Market, Near Customer strategy and delivering on our promises wherever we plant the Keppel flag.

The h igh ly-ant ic ipated contract to convert a first-of- its-kind FLNG vessel for Golar LNG was worth US$735 million. This was the fruition of a year-long Front-End Engineering and Design study in partnership with our trend-setting and longtime customer, for whom we have already successfully converted the world’s first three Floating Storage and Re-gasification Units (FSRUs).

Natural gas markets are slowly transforming on the back of the shale gas “revolution” in the US and the increasing integration of fragmented regional markets, supported by the rapid expansion of LNG. The global FLNG industry i s expected to at t ract more than US$65 billion of investments from now through to 2020, driven by rising costs of onshore LNG terminals. Asia-Pacific, in particular, is expected to draw a major i ty of investments in the FLNG sector with its sizeable line-up of regasification and liquefaction projects.

As the FLNG market expands, we see opportunities for Keppel to offer safe, reliable and cost-effective solutions catering to the small and

The first DSS™38E semi under construction at Keppel FELS Brasil’s yard at Angra dos Reis

Brazilian projects contributed nearly a fifth of Keppel O&M’s revenue in 1H 2014. Excluding gains from the sale of Keppel Kazakhstan in February this year, Offshore & Marine operating margins continued to hold up at 14.5% for the f irst s ix months of 2014, registering

a year-on-year improvement from 14.1% for the same period in 2013.

To Keppel, the bottom line is just as, if not more important, than the top line. We continue to be prudent in selecting projects that we are confident of executing

well and earning the best risk-adjusted returns.

Our ability to manage and execute complex projects innovat i ve l y and wi th precision across various l o c a t i o n s w a s m a d e possible through sustained investments to improve


sustaining growth 7

mid-sized LNG segments. Keppel Offshore & Marine Technology Centre has developed its own solutions for LNG liquefaction and transfer to facilitate the production of stranded or associated gas at remote offshore locations. Our established track record of having completed over a hundred complex FPSO, FSO and FSRU conversion projects, coupled with a growing pool of in-house FLNG expertise, puts us in good stead to offer quality solutions to some of the challenges faced by the offshore LNG industry.

INFRASTRUCTURePreva lent urbanisat ion trends, especially in the

emerging economies that will continue to provide the bulk of global growth, underpin our long term commitment to develop our businesses in energy-related infrastructure, data centres and logistics solutions and services.

As we hone our strengths and develop new areas for growth in the Infrastructure d i v i s i o n , w e r e m a i n focused on completing our Engineering, Procurement and Construction (EPC) projects in Qatar and the UK. The Doha North Sewage Treatment Works is going through its testing and commissioning phase, and is ready to take in sewage. Meanwhile, Phase 1 of the

Keppel is focused on completing its infrastructure EPC projects in Qatar and the UK. Phase 1 of the Greater Manchester Energy-from-Waste Plant (in picture) is on track for completion in 2014, after a successful first burn as part of its commissioning process

Greater Manchester Energy-from-Waste Plant is on track for completion this year, after a successful first burn as part of its commissioning process.

In Singapore, demand for data centre space remains strong. Keppel Datahub 2, the first newbuilt data centre to achieve the BCA-IDA Green Mark Platinum Award, was completed in 2Q 2014. Offering over 6,000 square metres of quality data centre space, Keppel Datahub 2 will enable Keppel Telecommunications & Transportation (Keppel T&T ) to ca te r to the expansion needs of i ts clients while harnessing greater economies of scale. Following its first intake

of clients, the new data centre is enjoying good occupancy, and continues to receive strong enquiries from the market.

Keppe l T&T’s log i s t i c s projects in Singapore and Asia are also shaping up well and will soon augment our offerings of high-quality, reliable logistics solutions in Asia-Pacific. The Tampines Logistics Hub in Singapore, the Integrated Distribution Centre in Tianjin Eco-City, China, as well as the third party logistics distribution centre in Vietnam will be completed by the end of this year. We expect progressive contributions from these


8 sustaining growth


regional projects as they come on stream.

With eyes on the future, we will continue to nurture the fledgling businesses of our Infrastructure division, investing prudently and taking thoughtful risks for growth. We will examine our value chains holistically to determine where the profit pools are, and for niches where we can add value consistently.

PROPeRTyOn the back of pol icy h e a d w i n d s , h o m e transactions in Singapore

and China continued to slide for the second quarter of this year. In June, Singapore’s home sales fell 68% from 1,488 units sold in May, as developers held back on projects launches amid cooling demand. Although home sales have dropped, prices remained relatively s tab le . The S ingapore Government has expressed no intention to roll back the property cooling measures any time soon.

A slowing property sector, which makes up over 15% of China’s GDP, continues to put the country’s 2014

growth target of 7.5% at risk. Beijing has been steadily broadening the scope and depth of its assistance, through a partial lifting of some of the restrictions on property financing and reported moves by some local governments to ease home buying restrictions.

The softening property market is also opening up prospects that may not otherwise be available in more normal market conditions. We will position ourselves to se ize opportun i t ies with agility, building our pipeline of residential and

commercial developments whilst recycling capital for better returns.

In the first six months of 2014, our Property division sold 1,300 homes in Asia. Keppel Land will continue to monitor the markets closely to launch new residential projects across the region such as Highline Residences in Tiong Bahru and Hill Crest Villa in Chengdu.

In the commercial sector, Grade A off ices in the Marina Bay area continue to command strong rentals and occupancy. Marina Bay Financial Centre, Tower 3 is about 96% committed with a good line-up of tenants from diverse sectors.

We will continue to actively recycle capital for higher returns, and weigh al l available opportunities so as to maximise value from our investments. In the second quarter, the Property division divested several projects in Singapore and India.

Keppel REIT optimised its portfolio with the sale of its 92.8% interest in Prudential Tower for $512 million. Keppel Land and Alpha collectively divested their stakes in Equity Plaza for a total cash consideration of $550 million. Proceeds from the sales of the two prime commercial buildings in Singapore will provide the Property division with greater financial flexibility to pursue other higher-yielding projects.

Keppel Datahub 2, completed in 2Q 2014, is enjoying good occupancy and continues to receive strong enquiries from the market



sustaining growth 9

market, Keppel Land seized the opportunity to raise its effective stake in Phases 2 and 3 of The Estella, a quality residential project in Ho Chi Minh City, which has been doing well for the company.

The Property division will continue to monitor the markets closely to launch new residential projects across the region such as Highline Residences in Tiong Bahru (in picture) and Hill Crest Villa in Chengdu

We will continue to actively recycle capital for higher returns, and weigh all available opportunities so as to maximise value from our investments.Mr Loh Chin HuaCEOKeppel Corporation

In line with its asset recycling efforts, Keppel Land also divested its 37.7% stake in the Elita Garden Vista project in Kolkata, India. Strengthening its foothold in Indonesia, Keppel Land acquired a prime residential

site along the Outer Ring Road in West Jakarta which will yield about 3,000 homes and ancillary shophouses targeted at middle-income homebuyers. Riding on improving sentiments in the Vietnamese residential

Looking ahead, the rest of 2014 is still expected to be somewhat challenging. However, I am confident that Keppel will be able to ride the improving global e conomy and ma rke t sentiments as we continue to configure the sum of our parts into an optimal whole, seizing opportunities with prudent financial discipline and rigorous innovation to create platforms for sustainable growth and value creation. keppelite

10 sustaining growth


Maintaining financial resilienceKeppelite reproduces excerpts of the presentation by Mr Chan Hon Chew, CFO of Keppel Corporation, at the Company’s 2Q and 1H 2014 results press and analyst conference.

S$m 2Q 2014 2Q 2013 % Change 1H 2014 1H 2013 % Change

Revenue 3,177 3,076 3 6,173 5,835 6

Operating Profit 467 423 10 882 820 8

Profit before Tax 593 519 14 1,085 1,015 7

Net Profit 406 347 17 745 704 6

EPS (cents) 22.3 19.2 16 41.0 39.0 5

KePPel CORPORATION’S FINANCIAl HIGHlIGHTS2Q 2014

FINANCIAl HIGHlIGHTS The Group had a good quarter with net profit in 2Q 2014 increasing $59 million or 17% to $406 million, as compared to the same quarter last year.

Earnings per Share (EPS) posted a 16% rise to 22.3 cents while Economic Value Added (EVA) was at $190 million.

The Group’s revenue in the second quarter grew 3% from the same quarter last year, led by higher revenue from the Offshore & Marine (O&M) division.

C o u p l e d w i t h h i g h e r operating margins from the O&M and Property divisions, as well as write-back of impairment of associated companies, the Group achieved a 10% improvement in operating profit.

In addit ion, the Group benefited from higher profit recognition from associates such as The Botanica in Chengdu and FloaTEC, partially offset by a decrease from Marina Bay Suites, resulting in a 14% growth in pre-tax profit.

CFO Mr Chan Hon Chew speaking to analysts at Keppel’s 2Q & 1H 2014 results briefing

SeGMeNTAl ReVIeWRevenue in 2Q 2014 was up by 3%, driven by revenue growth in the O&M division.

The division registered a 13% increase in revenue and remained the main contributor to the Group’s

revenue, at 65% for the second quarter.

O&M revenue was up mainly


sustaining growth 11

because of higher volume of work. During the quarter, we started revenue recognition for three jackups and one floating accommodation semi.

O&M’s pre-tax profit for the second quarter was 15% higher due to higher revenue and better operating margins at 14.7% compared to 14.2% for the same quarter in 2013.

I n f r a s t r u c t u r e ’s d ro p in revenue was mainly attributed to lower power generation and prices of energy, while revenue from the Property division fell with the softer property ma rke t s i n S i ngapo re and China, as well as the deconsolidation of Keppel REIT on 31 August 2013.

P r e - t a x p r o f i t s o f Infrastructure and Property divisions are $49 million and $160 million respectively for 2Q 2014, comparable to the same quarter last year.

The Investment division reported $28 million higher pre-tax profit mainly due to write-back of impairment of associated companies and sale of investments during the quarter.

Group net profit in the second quarter of 2014 grew by 17% from $347 million to $406 million. All divisions posted higher net profits, except for Infrastructure which reported a slight decline.

29.1%

25.3% 27.2% 26.4%

19.5%

14.3%

2009 2010 2011 2012 2013 1H 2014

ROE & Dividend

13.6 14.517.0 18.0

10.012.0

34.638.2

43.0 45.040.0

Interim Dividend Full-Year DividendROE

Plus

Dividend in specie ~20.9cts/share

Plus



Plus


1H 2014

FINANCIAl HIGHlIGHTSFor the first six months of the year, the Group posted a 6% increase in net profit to $745 million from $704 million in the previous year, mainly driven by higher revenue, better operating margins and write-back of impairment of associated companies.

EPS saw a similar increase to 41.0 cents. Annualised Return on Equity (ROE) declined marginally to 14.3% while EVA was lower at $341 million. 2013’s ROE of 19.5% included revaluation gains f rom investment properties which would only be assessed at each year end.

The interim dividend of 12.0 cents per share declared represents a payout ratio of 29.3% of our profit for the first half of the year.

Our net gearing increased from 11% to 22%, largely due to capital expenditure and operational working capital requirements.

W i th two quar te r s o f r e v e n u e g ro w t h , t h e Group registered a 6% improvement in the top line to $6.17 billion for 1H 2014. This translates to an 8% increase in operating profit for the half year, as O&M continued to report higher revenue and operat ing margins in the second quarter.

However, after tax and non-controlling interests, net profit increased at a s l ightly s lower pace of 6%. As highlighted during the first quarter’s results announcement, there was a w r i t e - b a c k o f t a x provision at the Property division in the first quarter of 2013.

SeGMeNTAl ReVIeWIn the O&M division, good progress was made on its current projects, including those in Brazil, resulting in higher revenue being recognised compared to last year. Major jobs completed in the first half of the year include two jackup rigs,



272 298 312

751

357 339

726352 384

521

347 406

296

305406

346

457

246636

844

619

685

Net Profit (S$m)

Net Profit & EPS

15.5 17.0 17.6

41.9

19.8 18.7

41.520.0 21.6

29.1

19.2 22.3

16.9

17.322.8

19.3

25.3

14.036.1

47.4

34.5

38.0

EPS (Cents)

87.9 90.4

109.4

124.8

1,540 1,591

1,946

2,237

4Q:

3Q:

2Q:

1Q: 1Q: 1Q: 1Q:

2Q:

1,846102.3

3Q:

4Q:

2Q:

745

2Q:

41.0


two FPSO upgrades and an FPSO conversion.

Higher revenue and better operating margin resulted in the O&M division reporting a 13% jump in pre-tax profit for the first half of the year. The division also recorded higher net investment and interest income arising from higher deposits.

O&M’s net profit was 13% higher than previous year, and it remains the top contributor to the Group’s earnings, accounting for 67% of the Group’s half year earnings.

I n f r a s t ruc tu re ’s l ower revenue was attr ibuted mainly to a decrease in revenue from the power generation plant.

As h igh l ighted in the f i rst quarter th is year, Infrastructure’s pre-tax profit for 1Q 2013 was higher due to the write-back of provision following completion of the sale of the power barge business in Ecuador. Excluding this reversal, Infrastructure’s pre-tax profit in the first half of 2014 is comparable to the same period last year.

In the property segment, lower sales in Singapore and the effects of Keppel REIT’s deconsolidation on 31 August 2013 were partially negated by higher China sales in the first six months of this year.

Property registered a 12% fall in net profit after tax despite registering a flat pre-

Net cash used in investing act iv i t ies amounted to $143 million. $318 million was spen t on cap i t a l expenditure for Offshore & Marine and Property div is ions. Receipt from divestments and dividend income was $175 million.

The resultant cash outflow was $785 million for the first half of 2014, which is $154 million lower than 2013.

The discipline to maintain a strong balance sheet, coupled with our commitment to stay in the forefront of our chosen businesses through technology and innovation have allowed us to compete, excel and grow in the marketplace.

While the global economy is fraught with uncertainties, t h e K e p p e l G ro u p i s positioned to meet the challenges as we remain vigilant, looking out for opportunities to capture and further grow shareholder value in a sustainable manner over time. keppelite

tax profit. As highlighted during the first quarter, net profit in the first six months of 2013 included a write-back of tax provision arising from the finalisation of prior years’ taxation.

FRee CASH FlOW The Group continued to generate strong cash flow from operations. In 1H 2014, the Group generated $1 billion of cash from operations, $93 million or 10% above the corresponding period last year.

However, O&M and Property divisions’ working capital requirements resulted in cash outflow from operations of $642 million in the first half of 2014; $253 million lower than the same period in 2013.



Conversations with investorsKeppelite shares highlights of a robust Question & Answer session between Keppel senior management and the investment community at the 2Q & 1H 2014 results briefing.

Senior management engaging the investing community at the results briefing

Q: What is your outlook for the jackup market in view of the large on-coming supply in 2015? Cyy: Industry fundamentals are still strong and the jackup market remains resilient. We are still getting active enquiries for the standard KFELS B Class jackup, which can be used anywhere outside of the North Sea. We also have the technology to provide specialised jackup solutions for North Sea and deeper waters as well.

Almost half of the jackups slated for delivery in 2015

are being built by Chinese sh ipyards . The market expects some delay in deliveries from Chinese yards, and is concerned about the reliability of units built there.

We are in quite a good position presently; we are rather full for 2015 and near-capacity for 2016. If a customer desires to have one of our units, we could bend backwards to deliver it in 4Q 2016 or 2017. We may not be the lowest in price but we will certainly give the best value. We

offer life-cycle cost benefits to our customers because of our quality, reliability and safety.

Q: What is your view on the FlNG industry? What are the opportunities for such FlNG vessels with customers apart from Golar?Cyy: We are quite bullish about the FLNG industry. Our facilities are well-suited for FLNG conversion and we are hopeful that this will become one of our core businesses, just like FPSO conversion.

We have an agreement with Golar on options for two additional FLNG units. Other customers have also come to us with their own requirements; however, we have not gone into the details with them yet.

lCH: Gas is becoming a very important part of the energy mix. The expectation is that from now until 2020, about US$65 billion will be invested in FLNG; the bulk of that is going to be in the Asia Pacific market. I think FLNG




is an exciting market which holds a lot of promise but as this is our first conversion project, we’ll take it one step at a time.

Q: How confident is Keppel about delivering the Golar FlNG conversion on-budget? C y y: We h a v e b e e n working on this project for a few years and completed a Front-End Engineering and Design study. As far as the engineering scope is concerned, we are quite confident.

The responsibilities of each party are well defined in the project scope. The equipment supplier, Black & Veatch, is directly responsible to Golar. Our contract also has a formula for adjustments if there should be any changes.

Q: Could we get an update on the management services

agreement with Titan Petrochemicals Group? lCH: The agreement is conditional upon Titan’s restructuring and resumption of trading on the Hong Kong Stock Exchange. T itan’s progress, as far as we know, is on track.

Q: Could you provide an update on the status of the Memorandum of Understanding with PeMeX? Cyy: We are finalising our shareholders’ agreement and wi l l prov ide more updates when completed. Subsequent to the approval of Mexico’s energy reform, there will be some local con ten t requ i rement s amounting to about 25%. Having a facility there will further our prospects.

lCH: We want to make sure that the r isks are appropriately accounted for when we sign on the dotted line.

Q: With weakness in the ultra deepwater market, are you still as optimistic about selling the CAN-DO drillship or getting further orders for that rig class? Cyy: In the deepwater segment, there’s a temporary softening of dayrates for exploration drillships due to the number of deliveries slated over this year and the next, following which the supply will start to dwindle.

Our intention is to deliver the CAN-DO drillship sometime in 4Q 2016. Our CAN-DO drillship is designed for the niche market of development and completion, and does not compete directly with the Koreans’ commodity exploration drillships. We feel that it is a differentiated solution and there will be demand for it.

Q: How long is the study with Seafox Group on the Plug & Abandonment

(P&A) jackup expected to take?Cyy: The study on the P&A jackup is ongoing and we are at a fairly advanced stage. We are working very closely with Seafox and the project will be consummated when they are ready to proceed.

Q: Do you expect to be making more provisions for the Infrastructure ePC projects now that we are closer to delivery? CHC: We have not made any additional provisions in 1H 2014 but we can only be certain when the projects are completed.

lCH: We are in the last mile of our EPC projects but it is a challenging one. The team is working very hard to complete the projects.

Q: Could you provide insights into why receivables and working capital have deteriorated in the first half of 2014? Are these attributable to any particular customer? CHC: Total receivables has gone up because there were some lumpy receivables booked at the end of the quarter, which wi l l be collected in the subsequent months.

O u r w o r k i n g c a p i t a l requirements would also grow with our businesses. With competition, there will be pressure on payment terms as well. In the past few years, an increasing number of offshore projects were The global FLNG market is expected to draw US$65 billion of investments from 2014 to 2020




Results webcast goes mobile

on 20-80 payment terms as opposed to progressive payments, and that has added to our working capital requirements.

Q: Which business does the $21 million write-back of impairment relate to?CHC: That wr i te -back arose from the sale of an investment by k1 Ventures earlier this year. k1 Ventures had sold its 80% stake in Long Haul Holding Corp in the US, which holds Helm Holding Corporation. keppelite

lCH – Mr loh Chin Hua, CeO

of Keppel Corporation

CHC – Mr Chan Hon Chew,

CFO of Keppel Corporation

Cyy – Mr Chow yew yuen,

CeO of Keppel Offshore &

Marine

Keppel Corporat ion’s mobile website launched earlier in the year has raised average mobile hits per month year-to-date by 37% compared to the corresponding period last year.

Building on efforts to extend its mobile outreach, Keppel Corporation has launched the iOS and And ro id compa t i b l e

mobile results webcast on 24 July 2014.

With the mobile webcast’s optimised layout and loading speed, smartphone users are able to view the Company’s l ive results briefing on-the-go, as well as submit questions online to senior management during the live Question and Answer session. Simply register at www.kepcorp.com.

Doha North Sewage Treatment Works is going through its testing and commissioning phase, and is ready to take in sewage



steady performanceKeppel Land’s revenue grew 9.7% year-on-year (y-o-y) to $589.5 million fo r 1H 2014 . P re - t ax profit of $260.3 million was 23.2% higher compared to 1H 2013.

The group achieved a net profit of $195 million for 1H 2014, up 1.5% against $192.1 million in 1H 2013. Profit would have been comparatively higher by 16% if not for a tax write-back of $24.5 million in 1H 2013. For 2Q 2014, net profit was up 12.3% y-o-y to $107.2 million.

Earnings from overseas rose 28.2% y-o-y to $62.3 million in 1H 2014, representing about 31.9% of net profit compared with 25.3% for 1H 2013. The higher overseas profit was contributed mainly by China residential projects such as 8 Park Avenue in Shanghai, The Botanica in Chengdu and The Springdale in Shanghai, fol lowing their completion.

P r o p e r t y i n v e s t m e n t contributed $60.7 million to net profit, up 18.1% y-o-y on higher contributions from Marina Bay Financial Centre (MBFC) Tower 3, Life Hub@Jinqiao in Shanghai and Keppel REIT. As a result, property investment’s share of net profit grew to 31.1% compared with 26.8% in 1H 2013.

Fund management earnings also outperformed by 34.1% y-o-y to $27.4 mi l l ion compared w i th $20 .4 mil l ion in 1H 2013 on higher contribution from Alpha Investment Partners (Alpha). Fund management contributed 14.1% to the group’s net profit, an increase from 10.6% in 1H 2013. CAUTIOUS BUyING SeNTIMeNTS IN SINGAPORe Private residential prices and transaction volume remained soft due to the total debt servicing ratio restrictions and other measures. Flash estimates from the Urban Redevelopment Authority showed prices fell 1.1% in the 2Q 2014, the third consecut ive quarter of decline. About 4,460 units were estimated to be sold in 1H 2014, 55% lower than the 9,950 units sold in 1H 2013.

Keppel Land sold 98 units

($m) Half year ended Quarter ended 30 Jun 2014 30 Jun 2013 30 Jun 2014 30 Jun 2013

Turnover 589.5 537.4 304.6 330.5

Pre-tax Profit 260.3 211.3 148.1 118.3

Net Profit 195 192.1 107.2 95.5

Net Debt/Equity Ratio (x) 0.45 0.40 0.45 0.40

NAV/Share ($) 4.47 4.06 4.47 4.06

KePPel lAND’S FINANCIAl HIGHlIGHTS

in Singapore in 1H 2014, mainly from The Glades. The group is planning to launch Highline Residences, a CBD-fringe condominium development located within the heritage-rich estate of Tiong Bahru, which is now a popular and trendy city enclave with many new food and lifestyle outlets. In the popular Jurong Lake District precinct, the group is currently handing over the 629-unit Lakefront Residences which has been recently completed. T h e G r a d e A o f f i c e m a r k e t c o n t i n u e d t o improve on demand from companies in sectors such as oil and gas, insurance, telecommunications and pharmaceuticals. MBFC Tower 3 is about 96% committed as at end-June 2014 compared with about 90% in the same period last year. Grade A office rents are expected to remain stable given the low vacancy

rates, limited new supply and steady demand.

STeADy OVeRSeAS SAleS Overseas, the group sold about 1,200 residential units in 1H 2014. Despite the challenging market cond i t i ons and fewer available units for sale at The Botanica and The Spr ingda le , the group achieved sales of about 1,060 units in China during the period. Sales came mainly from The Springdale in Shanghai, Central Park City in Wuxi, The Botanica in Chengdu and Stamford City in Jiangyin, contributing 62% of the total units sold in China for the period. In China, about 2,300 sold units were completed in 1H 2014.

Keppel Land continued to grow its overseas commercial portfol io. The group is constructing Saigon Centre Phase 2 to capitalise on the



market recovery in Vietnam while International Financial Centre Jakarta Tower 2 in Indonesia is on track for completion in 2015. In Shanghai, Life Hub@Jinqiao is almost fully occupied with 15% positive rental reversion since acquired in 2013.

Vietnam is showing early signs of a recovery with improving macroeconomic indicators, a strong rebound in the stock market, and increased liquidity in the low to medium-end housing sector. The group sold more than 100 units in 1H 2014, mostly from The Estella in Ho Chi Minh City.

UNlOCKING VAlUe The group continued to ride on opportunities to unlock asset value and recycle capital into higher yielding

projects. Together with a fund managed by Alpha, the group is divesting Equity Plaza in Singapore. When completed in 3Q 2014, this transaction is expected to yield a divestment gain of about $59.5 mil l ion to the group. The group recently sold its 37.74% stake in Elita Garden Vista, a residential development in Kolkata, India, with sales consideration of about $7 million.

Keppel REIT and Alpha continue to acquire and divest assets selectively in the 1H 2014. In May, Keppel REIT announced the divestment its 92.8% stake in Prudential Tower for $512 million. Alpha‘s funds acquired a site in Taipei, Taiwan for the development of luxury apartments. It also

divested J6 Front, a retail cum office building, and a serviced apartment block, both in Tokyo, Japan. As at end-June 2014, total assets under management by Keppel REIT and Alpha amounted to $17.7 billion when fully leveraged and invested.

Committed to strengthening its presence in growth markets, the group acquired a prime residential site along the Outer Ring Road in West Jakarta, Indonesia, in early 2014. The site will yield about 2,600 homes and ancillary shophouses, and is expected to be launched in 2015. In Vietnam, the group is acquiring an additional 43% stake in The Estella Phases 2 and 3, a residential development located in District 2 of Ho Chi Minh

City, which will raise its stake from 55% to 98%.

ReCOGNITION FOR SUSTAINABIlITy I n re c o g n i t i o n o f i t s s t r o n g c o m m i t m e n t t o w a r d s c o r p o r a t e social responsibility and outstanding achievements in environmental sustainability, Keppel Land was conferred the BCA Green Mark Champion award in April 2014.

The company is also the first in Singapore to be awarded the International Safety Award by British Safety Council for its efforts to promote the health, safety and well-being of its workforce. The group was also conferred four awards from Design Business Chamber for its properties – Ocean Financial Centre (OFC), the vertical garden at OFC, the Sliding Integrated Multi-function Wall System at The Glades and the Interactive Multimedia Wall at The Glades’ sales gallery.

Keppel Land will continue to focus on its core markets of Singapore and China as well as strengthen its market position in Indonesia and Vietnam. It will also opportunistically invest in new markets, platforms, properties and projects. The company will further leverage its expertise to grow its commercial portfolio overseas while act ively reviewing its portfolio and recycle capital to maximise returns for shareholders. keppelite

Keppel Land’s earnings from overseas rose 28.2% y-o-y to $62.3 million in 1H 2014. The higher overseas profit was contributed mainly by residential projects in China such as 8 Park Avenue in Shanghai, The Botanica in Chengdu (in picture) and The Springdale in Shanghai



top in governance and transparencyAff i rming the Group’s longstanding commitment t o s t r o n g c o r p o r a t e g o v e r n a n c e , K e p p e l Corporation clinched the top spot in the Governance & Transparency Index (GTI) 2014 as the best governed and most transparent listed company in Singapore, while Keppel Land and Keppel Telecommunications & Transportation (Keppel T&T) performed well with rankings of 6th and 21st respectively among over 600 assessed companies.

T h e s e t h r e e K e p p e l compan ies have been consistently ranked in the top 25 since the GTI was launched in 2009. This year’s results were announced on 24 July 2014 during the Certified Public Accountant (CPA) Forum held at the CPA Australia office in Singapore.

Dr Lee Boon Yang, Chairman of Keppel Corporation, said, “Keppel is committed to upholding the highest s tandard of corporate governance and transparency in the conduct of our business. The board and management have a strong sense of accountabil ity towards our stakeholders.

“We have always aligned the company with the best practices and abided by the Code of Corporate Governance 2012. We

are pleased to be ranked as Singapore’s most well-governed and transparent company, and for our efforts to be recognised by the business and investing communities.”

A total of 644 SGX-listed companies which released their 2013 annual reports before 31 May 2014 were examined for the GTI 2014, which aims to reflect the key trends in Singapore’s corporate governance landscape. Companies were assessed on their corporate governance disclosure and practices, timelines, accessibility and transparency of their financial results announcements.

One examp le o f how Keppel Corporation stood out was its disclosure on the appointment process for CEO Mr Loh Chin Hua, including the criteria for CEO succession, in its Report to Shareholders 2013.

Associate Professor Themin Suwardy, Singapore Divisional President at CPA Australia, said, “The annual trends and detailed GTI rankings over the last six years show that Singapore-listed companies are making positive strides in reinforcing the values of good corporate governance, r i sk management and transparency, which are at the core of financial

i n f r a s t r u c t u r e a n d foundation.

“While there is room for improvement among listed companies in the broader market, it is clear that well-governed entities create su s t a i nab l e va l ue fo r organisations and are trusted by investors big and small.”

G T I i s a t r i p a r t i t e co l laborat ion between CPA Australia, National University of Singapore (NUS) Business School’s Centre for Governance, Institutions and Organisations (CGIO) and The Business Times. keppelite

On behalf of Keppel Corporation, Mr Edmund Mah (right), GM of Finance, Keppel Offshore & Marine, received the GTI 2014 award for the top ranked company from Associate Professor Themin Suwardy (left), Singapore Divisional President of CPA Australia



World’s largest jackup rig delivered Delivered seven days ahead of schedule and on budget, XLE-2 is the second of three such rigs that Keppel is building for Maersk.

The mammoth j ackup rig, XLE-2, was delivered by Keppel FELS to Maersk Drilling on 7 August 2014. The r ig, which wi l l be named at a ceremony in Norway in October 2014, is a XL Enhanced (XLE) harsh environment jackup rig. It has been customised for operations in the North Sea and has been chartered by Det norske oljeselskap ASA (Det norske) for deployment in the Ivar Aasen project in Norway for five years.

Mr Chow Yew Yuen, CEO of Keppel Offshore & Marine (Keppel O&M), said, “This is the largest rig in the world and we are proud to have delivered it seven days ahead of schedule. It is a result of the close partnership we have developed with Maersk Drilling.

“We are grateful to have been chosen time and again to assist in the expansion of Maersk Drilling’s premium fleet. Just f ive months ago, we delivered Maersk Intrepid, the first such rig to Maersk Drilling and we look forward to completing the third rig on time or early, on budget, and safely as well.”

Collaborations between Keppel and Maersk Drilling span the design, engineering,

repair and construction of a variety of rigs and ships. The companies have partnered on 12 newbui lding r ig projects to-date, including the three XLE rigs.

Mr Claus V. Hemmingsen CEO of Maersk Drilling and member of the Executive Board in the Maersk Group, said, “The XLE-2 is part of our series of ultra-harsh environment rigs for the North Sea and enables us to further solidify our strong position in the Norwegian jackup market. These ultra-high specification rigs are preferred by our customers for the safety and efficiency gains they offer.

“Th is ear ly de l i very i s the reason Keppel FELS, with their strong track record and technological capabilities, was chosen to build three of the XLE rigs. Our combined expertise and common safety, quality and performance standards have enabled us to deliver w i n n i n g s o l u t i o n s t o international oil companies and the industry.”

The XLE rig has a leg length of 206.8m (678ft) and is designed for year round operations in the North Sea, in water depths up to 150m (492ft). keppelite

Another job well done as Keppel O&M and Maersk Drilling management celebrate the delivery of the second XLE rig. At the ceremony were Mr Wong Kok Seng (front row, third from right), MD(Offshore), Keppel O&M and Mr Frederik Smidth (front row, second from right), Chief Technical Officer & VP of Maersk Drilling



(Front row) Chief Representative (China) of Keppel Corporation Mr Goh Toh Sim (left) and Vice Chairman of ECAC Mr Yang Zhize (right) signed the MOU between KOMtech and ECAC for an engineering and technology foresight unit in the Tianjin Eco-City. The ceremony was witnessed by (back row, from left) Singapore’s Minister Khaw Boon Wan, Tianjin Mayor Huang Xingguo, Tianjin Binhai New Area Party Secretary Yuan Tongli and Tianjin Vice Mayor Ren Xuefeng (source of photograph: SSTEC)

growing with new partnerships

The growth of the Sino-Singapore T ianj in Eco-Ci ty (T ian j in Eco-Ci ty ) continues apace as new projects were signed at the seventh Singapore-Tianjin Economic and Trade Council (STETC) meeting, which was co-chaired by Singapore’s Minister for Nat ional Development, Mr Khaw Boon Wan and Tianjin Mayor, Mr Huang Xingguo. Held on 30 July 2014 in T ianjin, China, the p ro j e c t s spanned environmental, education and logistics services sectors.

Keppel Offshore & Marine Te c h n o l o g y C e n t r e (KOMtech), the design and engineering arm of Keppel

Offshore & Marine (Keppel O&M), signed a Memorandum of Understanding (MOU) w i th the T ian j in Eco-C i t y A d m i n i s t r a t i v e Committee (ECAC) to set up an engineering and technology foresight unit in the Tianjin Eco-City.

The unit wil l carry out engineering work to support Keppel O&M’s projects in Singapore, monitor the development needs and trends in the offshore and marine industry, and engage in technology foresight research work. It is also expected to complement Keppel O&M’s ex ist ing engineering office located in Shenzhen, Guangdong.

S ino-S ingapore T ianj in E c o - C i t y I n v e s t m e n t and Development Co., Ltd. (SSTEC), the master developer of the Tianjin Eco-City, also signed four agreements at the STETC meeting which saw more companies establishing a presence there. SSTEC is a 50-50 joint venture formed by a Keppel-led Singapore consortium and a Chinese consortium.

The first agreement is with education provider Ivy Group, which will see Ivy leasing a second school building to expand its presence in Tianjin Eco-City.

SSTEC a l so s igned an

agreement with Dynamiker Biotechnology (T ianjin), which will set up an office and a research & development ( R & D ) f a c i l i t y i n t h e Eco-Business Park.

The third agreement is between SSTEC and Allied Gain Holding Group Ltd ( A l l i e d G a i n ) . A l l i e d Gain, which engages in a wide range of business activit ies, wil l invest in the development of their company’s headquarters and an R&D centre in the Eco-Business Park. In addition, SSTEC signed an MOU with Tianjin Eco-City Green Building Research Institute (GBRI) to undertake research in the areas of green building management, green building technology and sustainable urbanisation.

On the sidelines of the meeting, Keppel Group showcased its presence in Tianjin and the rest of China at an exhibition of Singapore companies invest ing in Tianjin.

Having ventured into China since the 1980s, Keppel has expanded its presence into 23 Chinese cities to meet China’s urbanisation needs with sustainable solutions. keppelite



Propelling ahead with new dealsKeppe l ’s jo in t -venture shipyard in Qatar, Nakilat-K e p p e l O f f s h o r e & Mar ine (N -KOM) , ha s secured construction and maintenance contracts worth about US$130 million in total.

The first contract, signed with leading Qatari rig operator Gulf Drilling International (GDI), is for the construction of a self-propelled and self-elevating liftboat customised for field transit operations in the Middle East and North Africa (MENA) region.

Designed in collaboration with Bennett Offshore, a naval architecture and marine engineering arm of Keppel O&M, the liftboat is N-KOM’s first offshore newbuild project and is slated for delivery at the

end of 2015. The liftboat will be equipped with a unique 200-tonne leg encircling crane, a large open deck space of around 800 sm, a helideck as well as an accommodation capacity for 130 persons. It will also be able to operate in water depths of up to six metres.

Able to provide a wide range of services, including well servicing, commissioning, m a i n t e n a n c e a n d decommissioning of offshore platforms, a liftboat is a more efficient and cost-effective alternative to traditional offshore service vessels. Apart from accommodating a large number of offshore crew, the liftboat can also enhance overall operational safety as it is a more stable work environment with its self-elevating feature.

On the Middle East liftboat market, Mr Abu Bakar Mohd Nor, CEO of N-KOM said, “We have seen an inc reas ing number o f greenfield developments in the region, with major oil players rapidly expanding their fleet in tandem with market demand. Having a l r e a d y e s t a b l i s h e d ourselves in the ship repair market , our next s tep is to capture the robust regional offshore market by leveraging on Nakilat and Keppel O&M’s expertise to provide our customers with quality and value-added offshore solutions.”

N-KOM’s second contract is for a six-year repair and ma in tenance o f GD I ’s existing fleet of jackup rigs operating in the Middle East.

Mr Abu Bakar Mohd Nor added, “N-KOM has a long-standing partnership with GDI, having completed 10 repa i r pro jects for them over the past three years . These contracts signify the confidence and trust GDI has in our strong track record of safe, quality and timely deliveries.”

The third contract secured by N -KOM i s fo r the engineering, procurement, installation and construction (EPIC) of a floating jetty fo r new c l i en t , Qata r Primary Materials Company (QPMC). Situated in Ras Laffan Industrial City, the floating jetty will have an annual aggregates handling capacity of 7.8 mil l ion tonnes and is scheduled for completion in early 2015. keppelite

H.E. Dr. Mohammed Bin Saleh Al Sada, Minister of Energy and Industry, Qatar (centre) witnessed the contract signing ceremony between Chairman of N-KOM, Eng. Abdullah Fadhalah Al Sulaiti (second from left) and Mr Abu Bakar Mohd Nor (far left) CEO of N-KOM with CEO of GDI, Mr Ibrahim J. Al-Othman (far right)



Preferred port of callWith strong operational capabilities and extensive experience in all types of rig projects, Keppel Offshore & Marine (Keppel O&M) remains the choice partner for repair and upgrading services for international owners and operators.

eNHANCeMeNT FOR TRANSOCeANKeppel FELS is undertaking for Transocean the repair and upgrading of the arctic semisubmersible (semi) rig Polar Pioneer which arrived on 11 July 2014.

The yard’s work scope for this project includes accommodation upgrades, drilling and mooring systems refurbishment, ventilation systems upgrades, and the replacement of cranes and lifeboats. The project is expected to be completed in the las t quar te r of this year.

UPGRADe FOR eNSCOOn another major project, Keppel FELS successfully completed the upgrading and refurbishment of the drilling semi ENSCO 5005 for its long-time customer Ensco.

Through the dedication and vigilance of the Keppel FELS and Ensco project teams, more than two million safe man-hours were clocked on ENSCO 5005.

The project was conferred the ‘Safety and Health Award Recognit ion for Projects (SHARP) Award’ at the Workplace Safety and Health (WSH) Awards 2014 ceremony on 18 July 2014. This award was presented by Singapore’s WSH Council, and supported by the Ministry of Manpower.

ENSCO 5005 departed the yard on 26 July 2014 for Myanmar, where it wil l support the operations for Thailand’s PTT Exploration and Product ion Publ ic Company Limited (PTTEP) in Myanmar.

RePAIR FOR NOBleNoble Paul Wolff, a semi drilling rig of Noble Drilling, ca l led on BrasFELS on 22 May 2014 for repair and maintenance works,

Through strong teamwork between Keppel FELS and Ensco, the ENSCO 5005 project clocked more than two million safe man-hours and departed Keppel FELS on 26 July 2014

inc lud ing the remova l of its thrusters. BrasFELS completed the job safely and promptly.

Mr Gary Davies, Project Manager of Noble Drilling, commended the team,

“The performance by the BrasFELS team over the past weeks has been reliable and professional. When faced with the need for flexibility or to overcome adversity, the team quickly adapted and performed flawlessly.” keppelite

Noble Drilling commended BrasFELS for completing the repair and modification of Noble Paul Wolff safely and promptly



Marking progressWith construction processes running like clockwork to ensure on-time delivery, Keppel Offshore & Marine (Keppel O&M) celebrated a number of project milestones recently. N e w c u s t o m e r F e c o n marked the start of their journey as rig owners with a strike steel ceremony on two of their three jackup rigs on 2 July 2014. The ceremony signaled the start of the construction phase of the two rigs, B371 and B372. The cut steel will be used to form blocks of the hull which then be lifted into the drydock for integration where the next milestone

of keel laying will kick off the fol lowing phase of the projects.

Joining the project teams to witness the ceremony were Mr A.P. Dobrov, representative of Fecon as well as Keppel FELS’ senior management. The third rig in the series, B373 is scheduled to strike steel in December 2014.

All three rigs will be built to the high-specification KFELS B Class design and will be able to operate in water depths of up to 400 feet and drill to 30,000 feet deep. Customised to

Fecon’s requirements, the rigs will have a full 15,000 psi blowout preventer system, 75-feet cantilever outreach and be able to accommodate 150 persons.

C e l e b r a t i n g a n o t h e r s i g n i f i c a n t m i l e s t o n e was Keppel’s DSS™ 38 semisubmersible (semi) rig for Caspian Drilling Company (CDC). Construction of the rig leveraged the synergy of Keppel’s Singapore yard as well as its yards in Azerbaijan - Caspian Shipyard Company (CSC) and Baku Shipyard.

In Singapore, Keppel FELS completed the columns and bracings of the semi with a

ceremony held on 24 July 2014 to mark this significant milestone. The columns and bracings would next be transported to CSC to be integrated with the rest of the rig.

CSC is currently carrying out the fabrication of the upper hull, integration, testing and commissioning of the rig while Baku Shipyard is carrying out fabrication o f the pon toons and some upper hull blocks. Besides the columns and bracings, Keppel FELS is also undertaking the engineering, procurement and technical support. keppelite

Celebrating the accomplishment on Keppel’s DSS™ 38 semisubmersible being built for CDC are the project teams and management of Keppel FELS, CSC and CDC

Heralding the start of a strong partnership are the management of Fecon led by Mr A.P. Dobrov (standing, centre, with tie), and Keppel O&M led by Mr Chow Yew Yuen (standing, tenth from right) at the strike steel ceremony of the Fecon projects


24 special Focus

Keppelite I August 2014Keppelite I August 2014

Prime Minister Lee Hsien Loong (centre in green) spoke extensively on the need for organisations and society to shift their mindset away from over-emphasis on academic qualifications to recognise their skills and nurture people along different pathways to success. He shared three such stories from Keppel. Following his speech, he shared a light moment with Keppel’s senior management, as well as Bakar, Roy and Dorothy

Paving routes to successKeppel Corporation was held up as a shining example by singapore’s Prime Minister Lee Hsien Loong during his National Day Rally (NDR) speech. Describing his vision of singapore as a place with multiple pathways to success, he lauded Keppel for its belief in its people and providing many opportunities and support for Keppelites to grow and shine, regardless of their starting points.

Singapore’s Prime Minister Lee Hsien Loong (PM Lee) spoke at length, at this year’s National Day Rally (NDR) held on 17 August, on the need to keep Singaporeans’ p a t h w a y s t o s u c c e s s open and inclusive. While

many organisations used academic qualifications as a traditional marker of merit, PM Lee emphasised that it is all the more important for organisations to provide opportunities and support for cont inuous growth

and learning, as well as recognition based on merit and skills.

Keppel Corporation was highlighted by PM Lee as one which believes in its people, trains them, and gives them

opportunities to perform, regardless of where they started when they joined the company.

PM Lee sa id , “Keppe l Corporation illustrates what we are trying to achieve.

25


25 25


I visited Keppel Offshore & Marine’s (Keppel O&M) shipyard at Tuas recently and talked to the people, both their management as well as their staff. I was deeply impressed both by what they had achieved, and also their Can Do! spirit and confidence.”

He added, “Keppel illustrates that you can progress by acquiring deep skills and knowledge throughout your career and there are different ways to deepen your skills and knowledge, by learning on the job or by going for higher qualifications as you work and progress swiftly or both.” At the same time, he asked employers to value their staff and develop them to take on higher responsibilities.

Elaborating on these points, PM Lee shared the stories of Keppelites who joined the company with qualifications f rom the In s t i tu te o f Technical Education (ITE) and polytechnics and have grown and succeeded with Keppel.

At the NDR, he screened videos of the interviews he conducted with Mr Abu Bakar Mohd Nor, CEO, Nakilat-Keppel Offshore & Marine (N-KOM), Dorothy Han, Sect ion Manager, Engineering (Piping), Keppel FELS, and Roy Lim, Shipyard Manager, Keppel FELS.

Fuelling aspirations

I n a l i v e i n t e r v i e w conducted by Channel NewsAsia following the NDR, Mr Chow Yew Yuen, CEO of Keppel O&M, explained that the key to the company’s success in developing its people lies in its meritocratic approach to its human c a p i t a l s t r a t e g y o f attract ing, engaging, r e c o g n i s i n g a n d developing people.

Mr Chow said, “We pay a lot of attention not only to university graduates, but also to those with ITE and polytechnic qualifications. The reason is that in our type of industry, we require people with diverse qualifications and any of them can turn out to be top talents. So as long as the employees have the motivation to succeed, we will develop and recognise them.”

At Keppel O&M, there are different structured development schemes for new hires from varying educational backgrounds.

D ip loma and degree graduates qualify for the two-year Management Trainee (MT) scheme. As part of this programme, employees will engage in classroom trainings, cross department rotations, on-the- job t ra in ings, mentorship programmes and networking sessions with senior management.

Keppel O&M has also collaborated with ITE to develop the two-year Technical Associate (TA) and Assistant Technical Associate (ATA) schemes for O’ Level and National ITE Certificates (NITEC) graduates, as well as N ’ L e v e l g r a d u a t e s respectively.

Keppel Corporation illustrates what we are trying to achieve. I visited Keppel Offshore & Marine’s shipyard at tuas recently and talked to the people, both their management as well as their staff. I was deeply impressed both by what they had achieved, and also their Can Do! spirit and confidence.Mr Lee Hsien LoongPrime Minister of Singapore

Continues on page 26... At Keppel O&M, there are different structured development schemes for new hires from varying educational backgrounds


26 special Focus

SPeAKING FROM THe HeARTTo prepare for his NDR speech, PM Lee vis ited Keppel O&M twice to learn more about its human capital initiatives and efforts.

On his first visit, PM Lee was accompanied by Minister for Education, Mr Heng Swee Keat, and Senior Minister of State (SMS) for Law and Education, Ms Indranee Rajah.

During the visit, PM Lee e n g a g e d i n a ro b u s t dialogue with 12 Keppelites from var ious academic backgrounds, who candidly shared their experiences at school and at work.

PM Lee also toured Keppel FELS’ Pioneer Yard to better understand the people and operations behind the

Scaling up to become CEO

Mr Abu Bakar Mohd Nor has proven throughout his twenty-four year career with Keppel that hard work and perseverance pays off, regardless of educational background.

The diploma-holder started off his career as an Assistant Safety Officer at Keppel Shipyard back in 1990. He swiftly rose through the ranks and held various leadership positions before becoming the CEO of Keppel’s joint-venture shipyard in Qatar, N-KOM.

He was sent to attend an Executive MBA course at the Singapore Management University (SMU) but he did not have the pre-requisite degree. So Keppel’s management wrote a letter to SMU vouching for him. SMU accepted that and he did well in the course.

Commenting on his achievements, Mr Abu Bakar said, “The fact that I am who I am today is testament to the company’s meritocratic approach to nurturing people. At Keppel, it is all about performance, delivery, the Can Do! spirit and teamwork.”

Starting off his career as a diploma-holder, Mr Abu Bakar rose through the ranks to become CEO of N-KOM. Even without a degree, he was accepted into an Executive MBA programme because Keppel’s senior management vouched for his capabilities

Prime Minister Lee Hsien Loong (centre, in pink), Minister for Education Mr Heng Swee Keat (seated left of PM, in white) and Senior Minister of State for Law and Education Ms Indranee Rajah (left of Minister Heng, seated) having a hearty chat with Keppelites to understand their educational background and career progression


building of offshore rigs. Initially scheduled to stay for an hour and a half, PM Lee was so impressed with Keppel O&M that he eventually stayed for three hours.

Moved by the s t rong Keppel culture and Can Do! spirit of the Keppelites, PM Lee returned on 1 August for video interviews with a few Keppelites whom he met. He personal ly

p layed the role of the interviewer.

Keppelite shares the stories from the three interviews aired as part of his NDR speech.

27


27 27

Manager by day, student by night

Besides overseeing a department of more than 60 people, Dorothy Han, Section Manager (Engineering) of Keppel FELS also spends three nights a week studying for a part-time diploma course.

She has come a long way since she first joined Keppel FELS in 1989 as a trainee draughtsman after completing an Industrial Technician Certificate in mechanical and electrical drafting and design.

Dorothy, who is taking a part-time diploma course in Engineering (Marine, Offshore technology) shared, “I spend most weekends on my homework but I feel very blessed that I have a supportive family. In fact, it was my husband who encouraged me to further my studies. My bosses have also been very encouraging and this motivates me to give my best at work and in school.”

Dorothy’s husband, Mr Tey Shaoleng added, “As what our Emeritus Senior Minister, Mr Goh Chok Tong, said, ‘活到老，学到老 (you are never too old to continue learning)’, I encouraged Dorothy to pursue a diploma relevant to her work so that she can further enhance her knowledge.”

From school dropout to shipyard manager

Behind every successful man is a strong woman. Indeed, this saying holds true for Roy Lim, Shipyard Manager at Keppel FELS.

The school dropout who joined Keppel FELS’ predecessor, Far East Levingston, in 1977, juggled between work and night classes to climb his way up. During PM Lee’s interview with him, Roy recounted how his wife stood by him and encouraged him through his difficult seasons at work.

Roy’s wife, Ms Susan Tay, shared, “Roy is extremely dedicated to his work and he loves his job. Even during Chinese New Year, he goes to the yard to ensure that everything is in order. I told him that I will look after the family so that he can give his all at work.”

A mother of two teenagers, a 16-year-old daughter and 14-year-old son, Dorothy Han said that her supportive family allows her to focus and excel in her job

With the support of his wife and three sons, aged 28, 24 and 16, Roy Lim has risen from a school dropout to a shipyard manager offering guidance to junior workers



28 special Focus


ABUzz ON Can-do!Besides the mention of Keppel in PM Lee’s National Day Rally speech, there was also much buzz on Keppel’s Can-Do! spirit across social media.

Intrigued with the innovative Keppel FELS Can Do! Barge, PM Lee took a photo of the structure and posted it on his Instagram page (right), where he highlighted Keppel’s 21-rig delivery achievement and efforts to boost innovation

(Left picture) Following his first visit to Keppel O&M on 25 July 2014, PM Lee shared on Facebook that the passion of Keppelites shone through during his chat with them. PM Lee encouraged all to have a spirit of resilience and said that many who joined Keppel O&M as an ITE or diploma holder have successfully climbed through the ranks



Onward singapore

Joining in the celebration of Singapore’s 49 years of independence, business units across the Keppel Group organised various events in the month of August.

Keppel FELS held its National Day Observance Ceremony on 11 August 2014. The celebrations kicked off with a flag-raising ceremony and a rousing recital of the Singapore pledge by Keppel Offshore & Marine’s (Keppel O&M) management, union leaders and Keppelites, who were joined by Guest-of-Honour, Associate Professor Muhammad Faishal Ibrahim, Parl iamentary Secretary of Singapore’s Ministry of Health and Ministry of Transport.

Besides celebrating the nation’s birthday, 179 long-serving employees were also recognised for their hard work over the years,

which has contributed to both Keppel and Singapore’s progress.

In conjunction with the Na t i ona l Day Pa rade , Ocean Financial Centre also illuminated Singapore’s skyline on 9 August 2014. The bui ld ing, which is instal led with 120,000 energy-saving LED bulbs, emerged in a kaleidoscope of colours, much to the delight of the parade audience seated across at Marina Bay.

Over at the Sino-Singapore Tianjin Eco-City (T ianjin Eco-City) on 8 August 2014, the Sino-Singapore Tianjin Eco-City Investment and Development Co., Ltd. (SSTEC) held a lunch reception to celebrate the nation’s birthday. Leaders and employees from the S ino-S ingapore T ianj in Eco-City Administrative Committee (ECAC) and the

Guest-of-Honour, Associate Professor Muhammad Faishal Ibrahim (fourth from right), Parliamentary Secretary of Ministry of Health and Ministry of Transport, joined Keppel Offshore & Marine’s management, union leaders and Keppelites to celebrate Singapore’s 49th birthday

Tianjin Eco-City Investment and Development Co., Ltd (TECID) joined Singaporeans in SSTEC to commemorate the special occasion.

In Kunming, China, Spring City Golf and Lake Resort hosted a Singapore National Day golf event attended by over 120 members and distinguished guests on 9 August 2014. Among

them were members of the Consulate-General of the Republic of Singapore in Guangzhou, China including Consul-General Mr Loh Tuck Wai, Vice Consul Ms Novene Li and Consul Ms Chay Yuen Ting, as well as Consul-General Mr Aung Kyaw Oo and Consul Mr Thein Tin from the Myanmar Consulate-General in Kunming, China. keppelite

Mr Xu Datong (third from left), Chairman of ECAC, Mr Meng Qun (second from left), GM of TECID and SSTEC board member, Mr Yang Zhize (far right), Vice Chairman of ECAC, Mr Li Bin (far left), Deputy GM of TECID and SSTEC board member, and Mr Ho Tong Yen (second from right), CEO of SSTEC, at the Singapore National Day reception in the Sino-Singapore Tianjin Eco-City (source of photograph: SSTEC)


Keppelite I August 2014 Keppelite I August 2014

Winning developmentsKeppel Land and Keppel REIT’s commitment towards t h e d e v e l o p m e n t o f innovative and sustainable properties continue to gain recognition from industry bodies.

BeNCHMARK OF QUAlITyFor excellence in design and architecture, Ocean Financial Centre and Marina Bay Suites were conferred the coveted International Real Estate Federat ion FIABCI Singapore Property Awards 2014, under the Office and Residential (High Rise) categories, respectively. The ceremony was held on 13 August 2014 at Parkroyal on Pickering hotel.

With this win, both properties will go on to participate in the highly acclaimed FIABCI Prix d’Excellence Awards 2015.

P a r t i c i p a n t s w e r e evaluated based on the concept, architecture and design, development and construct ion, f inanc ia l and marketing, as well as environmental impact and community benefit.

WATeR eFFICIeNCySeparately, Ocean Financial Centre, with its state-of-the-art energy-efficient and environmentally-friendly technologies, and Prudential Tower have been certified

a Water Efficient Building (Silver) by the Public Utilities Board. The certification will be presented in a ceremony on 25 September 2014.

Mr Toh Wah San, Senior VP, Asset Management, Keppel REIT, shared, “We believe that resource efficiency is not only our responsibility, but also makes good business sense. Ocean Financial Centre, as well as all of the other Keppel REIT buildings, bear internationally-recognised green certifications. We are encouraged by this latest accolade and will continue our efforts towards a more sustainable future.”

Ocean Financial Centre u t i l i s e s a m y r i a d o f

sustainable features and innovative applications, such as harvesting rainwater for the irrigation of rooftop g a r d e n s , r e c y c l i n g condensate water for the cooling tower, and using water-efficient tap fittings, contributing towards saving 42 million litres of water annually.

GReeN DeVelOPeRA t t h e S i n g a p o r e Environmental Achievement Awards (SEAA) 2014, Tanah Sutera, the joint venture developer of Keppel Land’s integrated township of Taman Sutera in Johor Bahru, swept the Merit Award (Regional) for contributions towards environmental sustainability.

As a socially responsible developer, Tanah Sutera introduced various green initiatives within the township to create and nurture a sustainable community.

Recently, the team at Tanah Sutera celebrated the opening of Sutera Mall’s Good Earth Centre on 23 July 2014. The Centre processes food waste from the mall’s F&B outlets into usable compost for the integrated township.

Mr Steven Shum, GM of Tanah Sutera, said “We aim to nurture and cultivate a zero-waste mindset among our residents and tenants. Our most recent win at the SEAA spurs us on as we strive towards this goal.” keppelite

Keppel Land’s Mr Tan Swee Yiow (centre), President (Singapore), receiving the FIABCI Singapore Property Awards for Ocean Financial Centre on 13 August 2014



AIpha eyes launch of China retail fundIn an exclusive interview with PERE, a publication dedicated to the world’s private real estate markets, Ms Christina tan, MD of Alpha Investment Partners (Alpha), shares the company’s plans to launch a fund focused on the Chinese retail sector by end 2014. Keppelite reproduces extracts of the interview.

Alpha, the fund management arm of Keppel Land, is looking to launch an $800 million evergreen fund focused on the Chinese retail sector, specifically in the Yangtze River Delta region. According to Ms Tan, the firm is in talks with existing investors about forming a property fund to capture opportunities in the market.

This follows the success of Alpha and its co-investors’ combined 80% investment in Life Hub @ Jinqiao in February 2013, which has outperformed the firm’s underwriting by 11.

The property fund would be set up as a joint venture with Chongbang, its partner for Life Hub @ Jinqiao. M s Ta n s h a r e d t h a t Chongbang has also had success with other malls in Shanghai.

She said, “Chongbang has done well for itself and has been invited by the government to consider other sites for redevelopment. That will help us to get the land at a reasonable price.” Even though there is an oversupply of retail space in China, Ms Tan believes that a good partner in China is

essential because Chinese developers that understand what shoppers need are few and far between.

For now, Alpha is opening the fund to only a handful of its current international investors that intend to keep the assets for the longer term. Alpha will explore making the fund open-ended to allow investors to further add capital at a later stage.

“There are a number that have been investing in the China retail sector with us already and have seen how the sector is trending,” Ms Tan said. The vehicle will involve a mixture of development

a n d r e p o s i t i o n i n g investments to prepare for long-term hold, targeting core-plus returns overall.

I n o rde r to meet the growing competition from e-commerce, Ms Tan also shared that Alpha and Chongbang w i l l need to work to differentiate their malls. E-commerce tends to target the lower price range market, so successful malls need to target the middle class. Services like entertainment, dining, cinema and luxury lifestyle cannot be filled by the e-commerce industry, and these are the kind of tenants that Alpha will be seeking.

With $10.5 billion in funds under management, Alpha manages both core-plus and value-added funds. Most recently, Alpha divested J6 Front, an eight-storey office-cum-retail building in Tokyo for its $1.18 billion Alpha Asia Macro Trends Fund (AAMTF) I and a $550 million exit of Equity Plaza in Singapore for one of its core-plus funds at a 6x equity multiple.

Last July, Alpha hauled $1.65 billion for follow-on fund, AAMTF II which is already more than one-third invested. keppelite

Source: PERE, “AIP eyes launch of $800m China retail fund” by Michelle Phillips, 24 July 2014

Alpha will be joining hands once again with Chongbang, its partner for Life Hub @ Jinqiao (in photo), to set up a fund focused on Chinese retail sector by the end of this year




Cherished tiesA s a m u l t i n a t i o n a l conglomerate, Keppel has established a global network of clients, industry partners, investors and government officials, with whom the Group has regular exchanges to share ideas and foster relations.

ClIeNT CAllSMr Ramiro Garza Vargas, CEO of the Mexican drilling company Grupo R, called on Keppel FELS on 16 July 2014.

Hosted by Keppel’s senior m a n a g e m e n t l e d b y Mr Chow Yew Yuen, CEO of Keppel Offshore & Marine (Keppel O&M), Mr Garza was given an update on the steady progress of Grupo R’s five KFELS B Class jackup rigs under construction at Keppel FELS. The five rigs are on track for their scheduled delivery from the second quarter of 2015 to the fourth quarter of 2015.

Separately, a delegation from Keppel’s long-time customer, Petrobras, as well as Singapore Management Un i ve r s i t y ( SMU) and University of Texas (UT) also visited the yard on 5 August 2014 to learn more about the organisation’s best practices. The Petrobras executives were on a joint education programme between SMU and UT.

Receiving the guests were representatives from Keppel’s O&M’s management team led by CEO, Mr Chow Yew Yuen. Through a panel discussion and yard tour, the guests learnt about Keppel O&M’s operations in Singapore, as well as opportunities and challenges in the Brazilian market.

ClASS SOCIeTyThe Board and Management of American Bureau of Shipping (ABS), a leading

The Board and Management of classification society ABS visited Keppel O&M and reinforced the strong partnership between the companies

provider of classification services to the global marine and offshore industries visited Keppel O&M on 21 July 2014.

The delegation included Mr Christopher J. Wiernicki, Chairman, President and CEO of ABS, as well as Mr Choo Chiau Beng, who is a Board Member of ABS and also Senior Advisor to the Board of Keppel Corporation.

ABS has classed the majority of the vessels and rigs built, converted and repaired at Keppel O&M over the years. Hosted by Keppel O&M senior management led by CEO Mr Chow Yew Yuen, the delegation toured the Keppel yards and saw the projects that ABS and Keppel were working on.

CHINeSe eXCHANGeOn 31 July 2014, Keppel

O&M welcomed a delegation of government officials from Gangzha, a district in Nantong, China, where Keppel Nantong is located. The delegation, led by Nantong Gangzha District Government Deputy Chief Executive Mr Feng Bin, was in Singapore for an investment and study visit.

Apart from Keppel O&M, the Gangzha delegates also had a tour of Marina at Keppel Bay (MKB) and the show flat of Corals at Keppel Bay, where they learnt about Keppel’s property development business.

MKB also hosted a delegation f rom Zhongshan c i t y, Guangdong Province, led by Mr Chen Liangxian, Mayor of the Zhongshan Municipal People’s Government, on 9 A u g u s t 2 0 1 4 . T h e delegation was in Singapore to attend the 10th Worldwide



Zhongshan Associat ion C o n v e n t i o n a n d w a s welcomed by Mr Ang Wee Gee, CEO of Keppel Land, and senior management at Keppel Land.

Keppel Land has embarked on i t s f i r s t integrated residential cum marina lifestyle development in the affluent Pearl River Delta region in Guangdong Province. The development, Keppel Cove, is located on MoDao Island in Shenwan Town, Zhongshan City, and will leverage the success of Keppel Bay in Singapore to raise the benchmark of waterfront living in China.

BRAzIl SHOWCASeOver at Keppel FELS Brasil, global investors were at the BrasFELS yard on 11 August 2014 to see f irst-hand Keppel’s efficient and timely construction of its series of DSS™38E semisubmersibles (semis) for Sete Brasil.

During the visit organised by Credit Suisse, investors had the opportunity to glean insights from BrasFELS CFO, Mr Low Han Kiat on the yard’s operations and business outlook. They had a better appreciation o f K e p p e l ’s s e a m l e s s project management and coordination across its global network of yards as well. keppelite

Mr Chow Yew Yuen (third from left), CEO of Keppel O&M, presenting a wooden frame showcasing Singapore’s Marina Bay skyline to Mr Feng Bin (third from right), Deputy Chief Executive of Nantong Gangzha District Government

Global investors witnessed the on-schedule construction of the first unit of DSS™ 38E semis (in picture) being built for Sete Brasil at the BrasFELS yard

Zhongshan Mayor Mr Chen Liangxian (fifth from left), led a delegation to visit Marina at Keppel Bay on 9 August 2014. They were hosted by Mr Ang Wee Gee (sixth from left), CEO of Keppel Land, Mr Ho Cheok Kong (fourth from left), President of Keppel Land China, and other senior management



Spotlight on safety

In dialogue

Safety took focus at the launch of the inaugural KI HSE Week which was held back to back with KI’s townhall meeting, as seven teams were given the Safety Innovation Team awards in recognition of their innovative projects to make their workplace safer. 18 individuals were also lauded for their exemplary performance and supervision in safety.

Over at Senoko Waste-to-Energy plant, which

Board Risk Committee; Mr John Birchall, Keppel Group Safety Coordinator; and Dr Ong Tiong Guan, CEO of KI.

At Keppel Merimau Cogen on 5 August 2014, staff celebrated seven years of safe operations since the plant commenced opera t ions in 2007, clocking more than 1.8 million manhours in total without any lost-time incidents.

The senior management of Keppel Infrastructure, including its CEO Dr Ong Tiong Guan (above), engaged staff in robust discussions on the developments in the company since its reorganisation in 2013, as well as on its direction ahead

is a facility under Keppel Infrastructure Trust’s portfolio, Dr Lee Boon Yang, Chairman of Keppel Corporation; Mr Tan Ek Kia, Chairman of Keppel Corporation’s Board Safety Committee (BSC); and Mr Loh Chin Hua, CEO of Keppel Corporation and Chairman of KI visited on 18 July 2014. During the visit, the BSC was updated on the latest Health, Safety and Environment programmes at KI. Also present were M r s O o n K u m L o o n , Chairman of the Keppel

Having passed the one-year mark since Keppel Infrastructure (KI ) was fo rmed fo l l ow ing the reorganisation of Keppel E n e r g y a n d K e p p e l Integrated Engineering on 2 May 2013, employees o f K I engaged sen io r management in a robust dialogue at a townhall meet ing at the Matr ix Auditorium, Biopolis, on 4 August 2014.

Dr Ong Tiong Guan, CEO of KI, opened the session. Taking stock of the events in the past year, he noted the positive progress made in the group’s var ious businesses.

In Gas-to-Power, Keppel Me r l imau C ogen had completed its expansion and is currently one of the most competitive power generation companies in Singapore.

I n W a s t e - t o - E n e r g y, h e h i g h l i g h t e d numerous encouraging d e v e l o p m e n t s a n d re i te rated the group’s commitment to del iver quality projects in spite of the challenges it faced in UK and Qatar.

Underscoring the group’s emphasis on human capital, Dr Ong said, “The strong core of operations and maintenance capabilities r e s i d i n g i n K e p p e l Infrastructure wil l be a key differentiator for us as we grow our portfol io t h r o u g h d e v e l o p i n g , owning and operat ing facilities.

“ W e m u s t t h e r e f o r e continue to develop our people and imbue them with a long-term mindset and Keppel core values, i n c l u d i n g s a f e t y a n d innovation.” keppelite



Excellence in safetyEmbrac ing safety as a core value, business units across the Keppel Group seek to constantly improve their best practices and foster a stronger safety culture.

FOReFRONT IN CHINA Keppel Nantong received a f f i r m a t i o n f o r i t s commitment to safety when it recently achieved the highest grade of safety ce r t i f i ca t ion f rom the Chinese State Administration of Work Safety. It is the first shipyard in China to achieve this certification.

The certification is awarded to large corporations which fulfil l a set of stringent criteria, including having an incident-free workplace in the year prior to applying for the certification.

Recently in June, Keppel Nantong became the first shipyard in Nantong to set up a training centre with a focus on safety.

To further strengthen Keppel Nantong’s safety culture, Mr Yong Chee Min, Director (HSE & Special Projects) of Keppel Offshore & Marine (Keppel O&M), conducted safety workshops for Keppel Nantong’s management and subcontractors from 7 to 11 July 2014.

Areas covered include a review of the processes and systems in supporting safety management, an inventory of Keppel Nantong’s current systems and initiatives, as

well as a review of lessons learnt from past incidents within Keppel O&M’s yards.

MAKING IT eVeRyONe’S BUSINeSSOver at Keppel Land, the Annual Consultants and Contractors Health and Safety Meeting provides a platform for employees and contractors to share their experiences and knowledge in safety.

The seventh instalment of the meeting, held on

8 August 2014, saw over 120 Keppelites, consultants and contractors coming together to exchange best practices in safety.

Besides sharing knowledge, Safety Recognition Awards were given out to project teams and contractors of The Luxur ie, Ocean Financial Centre Phase Two, Marina Bay Suites and The Lakefront Residences, to commend their significant contributions towards safety excellence.

Mr Loh Chin Hua, CEO of Keppel Corporation and Chairman of Keppel Land, commended the project teams for their achievements. Reiterating that safety is a collective responsibility shared by all stakeholders, Mr Loh emphasised that a strong innovative spirit backed by high safety standards will enable the company to scale new heights. keppelite

Keppel Nantong is the first shipyard in China to achieve the highest grade of safety certification from the Chinese State Administration of Work Safety

Keppel Land’s seventh Annual Consultants and Contractors Health and Safety Meeting saw over 120 employees, consultants and contractors coming together to exchange safety best practices



Spurring Innovations

Lined up for breakthroughThe majority of innovations, however remarkable, are derived from an accumulation of incremental improvements and knowledge ga in s made over time. This was the case with Keppel FELS’ new Automated Pane l L ine Workshop, which was officially unveiled at a ceremony on 30 July 2014 by Mr Chow Yew Yuen, CEO of Keppel Offshore & Marine.

L o o k i n g m a r k e d l y different, the workshop has undergone an overhaul and reconfiguration, with innovative upgrades and refurbishments to enhance its efficiency.

Previously, the work flow started in the middle of the workshop and not all key work processes had dedicated stations.

The layout has since been reconfigured so that the workflow starts at one end of the workshop, with all key work processes having their own dedicated stations. In addition, the panels are now turned using a flip-over machine and moved from station to station using a conveyor system. The mechanisation of turning and moving the panels has also reduced manual

handling, further improving safety and productivity levels.

The re i s a l so g rea te r a u t o m a t i o n a n d mechanisation in aligning, mark ing , cu t t i ng and welding the panels. In the past, a significant proportion of these activities were carried out manually. Now, Keppel FELS employs a slew of customised hardware and software to undertake these act i v i t ies , whi le employees monitor and control the processes via user-friendly touch screens.

The workshop has also been brightened and enhanced, with ventilation of fume

extractions incorporated into the machines.

These enhancements were not designed overnight. They were first conceived when the yard was faced with an increasing amount of work, and panels were not being produced fast enough in-house to meet the demand.

A team from the Keppel FELS’ Production department, led by Mr Richard Tay, Sh i p ya rd Manage r o f Keppel FELS, found that due to the different complex configurations of their rig panels, there was no existing automated panel line system

suitable for rig building. The team took time to visit and study shipyards facilities around the world, and conduct literature research into new technologies before they were able to innovate and customise a specialised automated panel line system which suits their needs.

Taken together, al l the new enhancements to the workshop have reduced man-hours taken to produce a per panel by 48%. They have also raised the capacity of the workshop, thereby reduc ing the need to outsource panel fabrication works. keppelite

The panels are now turned using a flip-over machine and moved from station to station using a conveyor system



Refreshing brandsKeppel Land’s hospitality arm, Sedona Hotels and Suites, has launched a refreshed logo to reflect S edona ’s mode r n ye t timeless elegance with luxury offerings. It was conceived following detailed research into the preferences of its target demographics.

Unveiled in early August 2014, the logo boasts Sedona’s hallmark orchid motif styled in a contemporary blend of chic colours.

The new logo has been implemented at the Sedona Hotels and Suites in Yangon and Mandalay in Myanmar as well as Hanoi and Ho Chi Minh City in Vietnam, which stand ready to welcome guests with its warm Asian hospitality.

I n S i ngapo re , Keppe l Land’s brand advertisement for Corals at Keppel Bay has been conferred the Bronze award under the category of Print Single/

Campaign - Chinese at the SPH iink Awards held on 1 August 2014.

Into its 10th year, the SPH iink Awards is organised

by the Singapore Press Holdings (SPH) to celebrate and honour the best print advertisements and the creative people behind them. keppelite

Receiving the SPH iink Awards for the Corals at Keppel Bay brand advertisement (left image) was Keppel Land’s Mr Albert Foo (right image, fourth from left – photograph courtesy of SPH), GM of Marketing, with the team from DDB Group Singapore, the creative agency behind the advertisement

Beacon of knowledgeEven after his retirement as CEO of Keppel Corporation, Mr Choo Chiau Beng, Senior Advisor, Keppel Corporation, continues to actively share his experience, expertise and knowledge with the younger generation. On 1 July 2014, Mr Choo was appointed by the National University of Singapore (NUS) as Provost’s Chair and Professor (Practice) in the Department of Civil and Environmental Engineering, Faculty of Engineering and Department of Management

and Organisat ion, NUS Business School. In this role, Mr Choo will lecture at both departments on a part-time basis.

Professor Phoon Kok Kwang, Distinguished Professor and Head of the NUS Department of Civil and Environmental Engineering, welcomed Mr Choo in an email to all the staff and students of the department. In a separate newsletter, the department added that it was looking forward to Mr Choo’s

contributions to strengthen the university’s ties with the industry.

Keppel and NUS have a long standing relationship and have worked together on numerous initiatives. Most recently in November 2013, the Keppel-NUS Corporate Laboratory was established in collaboration with the National Research Foundation to develop technological solut ions for the offshore industry. keppelite

Mr Choo Chiau Beng, Senior Advisor, Keppel Corp, has been appointed NUS Provost’s Chair and Professor (Practice) in the Department of Civil and Environmental Engineering, Faculty of Engineering and Department of Management and Organisation, NUS Business School



Joint readiness

What happens if a riot breaks out on your premises leading to casualties and destruction of property?

To prepare for any such similar scenario, Keppel Offshore & Marine (Keppel O&M) joined hands with the Singapore Police Force (SPF), Singapore Civil Defence Force (SCDF) and its Safety Security Watch Group (SSWG) members, comprising ST Marine and Jurong Shipyard for a joint Ground Deployment Exercise on 13 August 2014.

Held annually in compliance with Singapore Maritime and Port Authority (MPA)’s requirement, the exercise

aims to foster and further strengthen inter-agency collaboration and support. The first joint exercise took place in 2005 and has since formed a critical part of Keppel O&M’s efforts to ensure business continuity and to build up operational resilience.

Conducted at the Gul Yard this year, the live exercise simulated a riot of about 80 persons who barged into the yard and started a fire. It tested the responses of Keppel O&M’s security and firefighting capabilities, evacuation procedures as well as coordination with other organisations.

Mr Philip Mah, GM (Group Security), Keppel O&M said, “Over the years, Keppel O&M has developed a robust system to deal with a variety of crisis situations and our plans are validated through exercises. It is part of our business continuity planning to ensure that we are ready to deal with different scenarios. We are glad to have successfully conducted this exercise and would also like to thank the SPF, SCDF and SSWG for their close support.”

The exercise was observed by senior management and personnel from Keppel O&M, SPF, SCDF and SSWG, who got together after the

exercise to share on areas for improvement and lessons learnt.

Mr Wilson Lim, Commander of Jurong Police Division and Deputy As s i s t an t Commissioner of Police, said, “Such multi-agency joint emergency exercises not only further strengthen the relationship between Keppel O&M, its SSWG members and the Home Team, but they also provides a collaborative platform for us to validate and improve our response to a riot and fire situation in a shipyard setting. I would like to congratulate all the participants for completing the exercise successfully.” keppelite

Joint Ground Deployment Exercise by Keppel O&M, SPF, SCDF and SSWG members at Keppel’s Gul Yard

Empowering Lives 39


Empowering Lives 39

gaining insightsTo keep its directors and emp loyees ab reas t o f t h e l a t e s t re g u l a t o r y requirements, Keppel REIT organised an anti-money launder ing (AML) ta lk conducted by KPMG on 13 August 2014.

Under the regulations of

the Monetary Authority of Singapore, all employees and officers of a capital market services l icence holder have to be regularly trained on AML laws and regulations.

During the training, Keppel REIT directors and staff learnt

growing the Keppel familyIn search for talent to invest in, the Keppel Group carefully selected seven students from some 500 applicants to award the prestigious Keppel Group Scholarship at Suntec Convention and Exhibition Centre on 25 July 2014.

T h e s e s c h o l a r s h a d undergone a r igorous s e l e c t i o n p ro c e s s o f

interviews, scenario-planning activities and ability tests, to stand out as individuals with a combination of keen intellect, strong mettle and a big heart worthy of the Keppel family.

“Our seven new Keppel Group Scholars hail from different backgrounds and possess varying personalities and ta lents , but they

are all self-starting and dynamic individuals, who are ever ready to take on challenges and contribute to something bigger than themselves,” said Professor Bernard Tan, Chairman of Keppel Group Scholarship Selection Committee. Upon graduation, these new Keppelites will commence work at various business units across the Keppel Group.

Mr Loh Chin Hua, CEO of Keppel Corporation, advised the new scholars, “In your coming years, you should optimise your opportunities, venture outside your comfort zone and push above your limits. I believe that with experience and exposure, you can blossom into men and women of great calibre.” keppelite

how money launderers and the financiers of terrorism could exploit vulnerabilities in organisations, as well as the various due diligence procedures the organisation can undertake to reduce its risk exposure.

Separately on 15 August

2014, Keppel REIT staff gained insights into the residential property market landscape and trends, by real estate research consultancy, Savills. keppelite

Senior management of Keppel Corporation with the newest recipients of the Keppel Group Scholarship

40 Empowering Lives


Competition heats up As Keppel Games 2014 moves into the second month, Keppelites’ fighting spirits remain strong, each competing to stay ahead in the game with the aim of getting their team crowned champions.

ON CUeOn Saturday, 20 July 2014, West Coast Recreat ion Centre played host to the 9-Ba l l Pool Chal lenge. Competition blazed red hot in the round robin matches, following a see-

saw battle in the quarter final rounds that eventually s a w t w o t e a m s f ro m Atlantic squaring off with each other.

Team Caspian capitalised on this fortuitous turn of events and took the top spot after a scorching u n d e f e a t e d s t r e a k through every round of the tournament. Team Atlantic’s best attempts to halt the Caspian juggernaut earned it the second and third places.

SMASH AND GRABOver at the badminton courts in Bedok Sports Hall, teams were smashing their way to the finals on 3 August. The highlight of the day was the mixed double finals between Team Pacific and Team Caspian, with every point drawing cheers from their supporters. In the end, the precise and calculated feather-light touches from Team Caspian saw them continue their winning streak to claim the Badminton Challenge Trophy.

BAll OF A TIMeAfter soaking in the nation’s b i r thday ce lebrat ions , Keppelites gathered on 10 August at the United World College East Campus for a 3-on-3 Basketball Challenge. Team Atlantic and Team Caspian were neck and neck in the competition, with the former winning in the women’s category. It was however not enough to prevent Team Caspian from scoring more points in the other categories to eventually lift the Basketball Challenge Trophy.

Empowering Lives 41


VOlleyING TO VICTORy On 17 August 2014, the Singapore Sports Council Sports Hall at Jurong West was filled with rousing cheers as the Keppelites spiked, dived and punched their way through the volleyball competition. The final clash between Team Caspian and Team Atlantic was a point-for-point nail-biter, but it was Team Caspian that finally emerged victorious.

HITTING BUllSeye Held at Paya Lebar Wisma AUPE Sports on 16 August 2014, this year’s Darts games saw intense competition between participants across all three teams who fought hard for the coveted Darts Challenge Trophy. The room erupted in cheers and shouts of joy whenever a participant came close to hitting the bullseye.

Jac lyn Cheong, Senior Finance Officer of Keppel Shipyard, has participated in the games for ten consecutive years and is no stranger to such intense competition. From a greenhorn to a seasoned player, the Atlantic team member shared “Over time, I grew to love the game and I’ve forged strong bonds with many of my colleagues.”

As colleagues cheered each other on, Team Caspian eked out just a few more points than the other teams to take home the Darts Challenge Trophy. keppelite

SCORe BOARDAs at 17 August 2014

467Team

Atlantic

478Team

Caspian

170Team Pacific

Passing the baton

Amongst badminton enthusiasts within the Keppel Group, “Hasan” i s a f am i l i a r name . Mr Hasan B Maunah, Transport Supervisor at Keppel FELS, has been dominating the badminton competitions since Keppel Games’ inauguration. At 60, Mr Hasan is still going strong and has also taken to training younger players for Team Caspian.

The veteran player said, “Mentoring is a big part of Keppel’s culture. I will retire eventually. By then, we will need new players to take over and I want to train the younger players so that they can bring glory to Team Caspian.”

Mr Hasan, who is the driver for Senior Advisor to the Keppel Board Mr Choo Chiau Beng, was encouraged

by Mr Choo to pursue his passion.

He shared, “Mr Choo gave me a Yonex racket a couple of years back to encourage me to carry on playing. Over the years, I have collected more than 50 rackets but I treasure this one the most and I hope to pass it down to future generations.”

Keppel Games has been a platform where Hasan (left, in black) enjoyed sporting competition, forged friendships and mentored younger Keppelites

42 Empowering Lives


Keppelites Around the World

The saying “the world is your oyster” is especially apt for Keppelites as the Group has businesses in over 30 countries. Indeed, for 30-year old Wayne Teo, he seized the opportunity to work in Keppel Land’s office in Ho Chi Minh City (HCMC), Vietnam for two years under the Finance Management Development Programme.

To s o m e , w o r k i n g i n a fore ign country may be daunting due to the language barrier. However, Wayne has never been one to back down from a challenge. It has also always been his desire to work abroad to increase his exposure and broaden his horizon.

World of opportunities He was seconded from Keppel Telecommunications & Transportation (KTT), where he was Assistant Finance Manager in Singapore, to be the Financial Controller at Keppel Land (Vietnam). With his new role, Wayne now oversees the finances for various trading properties, including those which have been launched for sale, as well as properties that are in the early stages of development.

“From my previous role which was more specialised, I am now exposed to operational work and I work closely with various departments, inc luding Projects and Marketing.”

More than one year into his

secondment, Wayne has not only built relationships with other locals, he has also learnt to be more flexible in embracing different working styles.

“People have different personalities and things may not always turn out the way you want them to. I have learnt to take things in my stride, adapt and work around the situation.

“I try to put myself in others’ shoes and think from their perspective. Reminding myse l f tha t we sha re different customs and values has helped me to be more understanding and tolerant towards things that come my way, both good and bad,” he said.

When he is not busy with work, Wayne explores the different parts of Vietnam. He has been to coastal towns and islands such as Nha Trang and Phu Quoc, which are known for their white sandy beaches.

“I have yet to explore much of Central Vietnam, such as the imperial city of Hue, the charming old town of Hoi An and the historical ruins of My Son, which remains untouched. The scenery is said to be breathtaking and it will provide a good break away from work.”

When asked about his biggest challenge living abroad, Wayne quipped, “I suppose it will be doing my own laundry and cooking my own meals!”

On the future of Vietnam, Wayne is optimistic and hopeful as the country has a large population of around 90 million, with two-thirds of the population under the age of 40. He shared, “The Vietnam market is seeing some signs of recovery. The currency is also more stable which would instill greater confidence in investors. I believe the best has yet to come for this nation.” keppeliteFinancial Controller at Keppel Land (Vietnam), Wayne Teo (second from right), with his colleagues at the company’s year-end party in 2013

Nurturing Communities 43



Nurturing through the artsI n r e c o g n i t i o n o f i t s sustained contributions to nurture the arts community i n S i ngapo re , Keppe l Corporation was named a Distinguished Patron of the Arts by the National Arts Counci l (NAC) on 17 July 2014. Keppel REIT was awarded Friend of the Arts.

T h i s i s t h e s e v e n t h consecut i ve yea r tha t Keppe l Corporat ion i s receiving the honour, which recognises and celebrates the support that corporations and individuals extend to the arts in Singapore.

A firm believer in the impact of the arts on creating v i b r a n t c o m m u n i t i e s , Keppel Corporation has contributed to the growth a n d d e v e l o p m e n t o f S ingapore’s v i sua l and performing arts scene, including music, dance

and theatre initiatives and groups such as Singapore Chinese Orchestra and Singapore Dance Theatre.

M o r e o v e r, K e p p e l i s committed to enriching lives through arts education among the young. Keppel Nights provides students

from heartland schools w i th oppor tun i t i e s to enjoy performances at the Esplanade, while the upcoming Keppel Centre for Art Education at National Gallery Singapore will provide an immersive and creative learning environment for youths.

“ I am hear tened that the a r t s ph i l an th ropy ecosy s tem has g rown to inc lude l ike-minded i n d i v i d u a l s , a s w e l l a s pub l i c and p r i va te sector organisations that appreciate the value of the arts,” said Ms Kathy Lai, CEO of NAC. keppelite

Fuel for thought

The aim of art is to represent not the outward appearance of things,

but their inward significance.

Aristotle

Ms Eva Ho (left), Deputy General Manager of Group Corporate Communications, Keppel Corporation, received the Distinguished Patron of the Arts award on behalf of Keppel Corporation from Mr Lawrence Wong, Minister for Culture, Community and Youth

44 Nurturing Communities


Doing goodFrom philanthropic efforts to championing the arts, Keppel Land is committed to contributing to communities wherever it operates.

RUNNING FOR A CAUSeAs a f irm supporter of charitable causes, Keppel Land was a proud sponsor of the Run for Life charity run on 19 July, contributing $10,000 towards the event.

30 Keppel Land staff, together with their family members took the opportunity to spend a meaningful Saturday morning participating in the event. They had the chance to meet Emeritus Senior Minister and MP of Marine Parade GRC Mr Goh Chok Tong who was there as a Special Guest.

Organised by Life Community Services Society, the event raised over $600,000 in support of educational and support programmes which will reach out to more than 1,000 underprivileged children and at-risk youths.

FlORAl FUNIn line with nurturing a green mindset among its employees, over 60 Keppel Land employees vis ited the S ingapore Garden Festival held at Gardens by the Bay on 20 August 2014. Organised by the National Parks Board and Gardens by the Bay, the nine-day biennial event

Tenants and visitors to Ocean Financial Centre were enchanted by the melodies played by 23 year-old Azariah Tan, who has risen above his hearing impairment to win numerous awards for his piano playing

overcame the odds and went on to score distinctions in many piano examinations and competitions. More recently, he was named the Laureate at the World Piano Te a c h e r s A s s o c i a t i o n I n t e r n a t i o n a l P i a n o Competit ion 2013 and was p laced second in the Amer i can P rotégé Internat ional Concerto Competition 2014. keppelite

showcases how greenery c a n b e i n c o r p o r a t e d into S ingapore’s urban i n f r a s t r u c t u r e i n a sustainable environment. To stir up excitement for this event, Keppel Land’s CSR committee organised a best-dressed contest with prizes awarded to staff who took efforts to dress up according to the festival’s garden/floral themes with recycled accessories.

MelODIeS OF HOPeMeanwhile, tenants and v i s i tors to S ingapore’s f inanc ia l d i s t r i c t were treated to a lunchtime piano performance by 23 year-old Azariah Tan at the lobby of Ocean Financial Centre on 25 July 2014.

This is part of Keppel REIT’s continuous efforts to engage tenants and the business community through regular musical performances by talented musicians and artistes.

A National Arts Council-Conservatory scholar and President’s Young Performer, Azar iah captivated the audience with familiar tunes from the movies Pocahontas and Forrest Gump, as well as Beethoven’s Sonata in E major Op. 109 and Liszt’s Hungarian Rhapsody No. 12.

Diagnosed with a bilateral sensorineural hearing loss at the age of four, which left him with only 15% of his hearing, Azariah

Over 60 Keppel Land employees visited the Singapore Garden Festival held at Gardens by the Bay on 20 August 2014



Caring for the communityKeppelites, over the Keppel Community Month in August, participated in a variety of activities to make a difference in the lives of the less fortunate.

FAMIly AFFAIRCol laborat ing with KK Women’s and Children’s Hospital (KKH), Keppel Volunteers organised a fun-filled day out for young patients and their families on 2 August 2014 to the Istana Open House. The patients are beneficiaries of a KKH

Endowment Fund supported by Keppel Care Foundation.

For many of the children, it was their first time on the sprawling green grounds, m a d e m e m o r a b l e b y interactive art installations created by artist Twardzik Ching Chor Leng.

Ching’s work will be featured in the Keppel Centre for Art Education at National Gallery Singapore, which will open in 2015.

Yong Zhi Yi of Keppel FMO shared, “It turned out that volunteers from Keppel FMO recognised many of the KKH

staff who attended the event as Keppel FMO also does logistics work for KKH! This made the activity an even more meaningful extension of our everyday work.”

Keppel Volunteers and young patients from KKH had a memorable day out at the Istana Open House


46 Nurturing Communities



AIDING DeVelOPMeNTFollowing the inaugural K e p p e l C o m m u n i t y Month in 2013, Keppel Land’s T ianjin team has been ho ld i ng regu l a r outings with children from Xiangyu Autism Mutual Aid Association to help them learn and develop.

On 24 Ju ly 2014, the volunteers accompanied the children to a water park in Tanggu District of Tianjin City, enjoying a splashing good time in the summer sunshine and foster ing meaningful friendships.

T h r o u g h r e g u l a r engagement w i th the association, Keppel Land is working to raise awareness and unders tand ing of children with autism.

BRIDGING AGeSProving that age is but a number, the sprightly elderly from St Theresa’s Home were full of cheer when they visited HortPark Garden on a tour organised by Keppel Volunteers.

It was also a fruitful day for the s tudents f rom Queenstown Primary School

Keppel Volunteers and Thye Hua Kwan elderly reveled in the festive atmosphere as they caught a sneak preview of Singapore’s National Day Parade

who accompanied the elderly, as the seniors shared how certain plants are used

to flavour local delicacies. The outing was part of Nature Cares, a National

Keppelites from Keppel Land’s Tianjin office and the children from Xiangyu Autism Mutual Aid Association had a splashing fun time at a water park




Pa rks Boa rd in i t i a t i ve s u p p o r t e d b y K e p p e l Care Foundation which encourages nature-based volunteerism.

Similar cross-generational b o n d i n g t o o k p l a c e when Keppel Volunteers accompanied elderly from Thye Hua Kwan Bedok Radiance Senior Activity Centre to the National E d u c a t i o n S h o w o n 26 July 2014, a preview of Singapore’s National Day Parade.

Waving flags and belting out tunes, the volunteers and elderly soaked up the patriotic atmosphere at The Float @ Marina Bay.

RACe FOR GOODAround 150 residents and staff of Sino-Singapore Tianjin Eco-City Investment and Development Co., Ltd. (SSTEC) gathered at the Sino-Singapore Tianjin Eco-City for a 2 km charity walkathon during SSTEC’s fifth anniversary celebration.

SSTEC donated RMB100 for each participant, raising RMB15,000 (about $3,000) for the Eco-City Volunteer As soc i a t ion in a id o f eco-friendly initiatives.

Meanwhile, it was a steep race to the top of Sands SkyPark for Keppel i tes in the Race to the Sky Vertical Marathon, part of the Heartstrings Walk supported by Keppel Care Foundation.

Keppel Recreation Club members finished third at the 3 August 2014 event, which raised over $1.5 million for social services programmes through Community Chest’s Care & Share movement.

GIFT FROM THe HeARTIn aid of victims of a fatal explosion at a manufacturing plant in Kunshan, Keppel Nantong organised a blood donation drive on 9 August 2014. Both cities are in China’s Jiangsu Province.

H e e d i n g t h e c a l l o f Mr Edmund Lek, President of Keppel Nantong, more than 50 Keppel Nantong employees stepped forward to donate blood for victims in need of transfusions.

Mr Lek shared, “We can never over-emphasise the

In support of Community Chest’s Heartstrings Walk, Keppelites took part in the Race to the Sky Vertical Marathon, finishing second runner-up

Mr Li Gang (right), VP (Commercial) of Keppel Nantong, and Mr Lim Kok Hwee (left), VP (Finance) of Keppel Nantong, were among the Keppel Nantong staff who contributed to the blood donation drive

importance of safety at the workplace. When an unfortunate accident such as this happens, even though

it does not affect us, it only feels right that we rally resources and do whatever we can to help.” keppelite

BackPage48


BackPage48


BackPage48

BackPage48


Keppe l Land made i t s ma iden inves tment in the United States (US) with a prime residential development in New York City. Keppel Land’s total investment in the project is about US$70 million.

The property, located on the Upper East Side in Manhattan, will also have a retail component. It will be developed by Macklowe Properties (Macklowe), an established New York real estate developer whose quality portfolio in the city includes the Metropolitan Tower, a luxury residential development, as well as 432 Park Avenue, the tallest residential building in the western hemisphere.

T h e i n v e s t m e n t w i l l be managed by Keppel

First bite into the Big AppleLand’s fund management subsidiary, Alpha Investment Partners.

Mr Ang Wee Gee, CEO of Keppel Land, said, “For our first investment in the US, we are partnering one of New York’s top developers and will be able to tap on Macklowe’s deep insights, rich experience and keen knowledge of the local market. With this prime property, we hope to meet the demand for well-located quality homes in one of the world’s leading business and financial capitals.

“Keppel Land will continue to invest opportunistically in key global cities with good growth potential, while remaining focused on Asia, with Singapore and China as our core markets.”

Future residents can look forward to the panoramic views of Manhattan when they move into Keppel Land’s first residential development in the United States

The property is located i n a n e s t a b l i s h e d residential neighbourhood in Manhat tan , on the boundary of Upper East Side and Midtown East. It is conveniently located within walking distance to the subway station on Lex ington Avenue and 59th Street, and is a five-minute walk from office developments such as the Citigroup Building and the Metlife Building.

F u t u re r e s i d e n t s c a n also look forward to the diverse range of amenities a n d e n t e r t a i n m e n t options around Midtown Manhattan. It is just blocks from Central Park, the national historic landmark in New York, and near numerous luxury designer and fashion boutiques such

as the flagship outlet of high-end department store, Bloomingdales.

The residential market in Manhattan remains strong. According to a 2Q 2014 report by Douglas Elliman Real Estate, Manhattan faces a low inventory for condomin iums. L i s t ing inventory fell to a 14-year low of 4,164 units in 4Q 2013 but rose by 18% y e a r - o n - y e a r ( y - o - y ) to 5,659 in the second quarter this year, which is still considered low for a highly competitive market. Monthly absorption rate edged 0.5 months y-o-y to 5.1 months in 2Q 2014, well below the 8.4 months average of the past decade. keppelite

Prin

ted

on r

ecyc

led

pape

r

Paving routes to successBold visionary - Keppel Land China · to build on their operational...

Documents

Transcript of Paving routes to successBold visionary - Keppel Land China · to build on their operational...