Kim Heng Offshore & Marine has signed a memorandum of understanding (MoU) with Taiwan's Hung Hua Construction (HHC), under which the partners will cooperate on offshore windfarm projects.
The Singapore-based shipowner will provide offshore support vessels (OSVs), tugboats and barges to the marine construction company through charters, sale or joint ownership and operation, according to a release.
The vessels will be used to transport, deliver and install windfarm foundations.
Kim Heng said it will explore joint ownership and operation of the vessels with HHC for a specific project, as well as for other upcoming windfarm projects in Taiwan.
Both parties will work towards signing a formal contractual agreement and charterparty agreements, the shipowner said.
Taiwan has big plans to expand its offshore windfarm capacity, which stood at 703.99 MW in 2018, according to government figures.
The Taiwanese government aims to commission a further 500 MW of capacity in 2020 and another 5 GW between 2021 and 2025, with more to follow up to 2030.
Kim Heng's MoU with HHC has a duration of 12 months and may be renewed by the partners, but remains subject to the execution of definitive agreements.
