MISC BERHAD 86 INTEGRATED ANNUAL REPORT 2023 87 www.miscgroup.com BUSINESS REVIEW SECTION 7 Offshore Business WHAT WE DO Offshore Business is a key player in the FPS sector, offering a wide array of offshore solutions and attractive partnership opportunities. Our expertise spans EPCIC, Repair and Life Extension (RLE) and decommissioning, positioning us strategically in the FPS market. Renowned for our adaptability, we cater to diverse fields, including greenfield and brownfield developments, ensuring each project is set-up for success. Globally, we operate 13 assets across various locations including Malaysia, Thailand, Brazil and Vietnam. This global presence allows us to tap into various markets, reinforcing our mission to become the ‘Best-in-Class FPSO Operator’ and set industry standards for excellence. The FPSO market has seen remarkable growth recently, fueled by increased exploration and production activities. Concurrently, there’s a pivotal shift towards decarbonisation, incorporating advanced technologies and solutions to boost efficiency and facilitate a Just Transition. In this dynamic context, our Offshore Business has strategically enhanced our capabilities, progressed on existing brownfield and greenfield projects as well as positioning ourselves for future growth with innovative initiatives. We are focused on global markets, pursuing projects that leverage our strengths, utilise diverse contracting structures and forge key partnerships. Our goal is to become the “Best in Class FPSO Operator,” driven by our commitment to operational excellence and project delivery. Central to our decarbonisation agenda are progressive initiatives for sustainable FPSO designs and products, including Oxy-Fuel Power Generation and Ammonia FPSO, aligning with our Sustainability Strategy Plan. A significant 2023 milestone was the sail away of the FPSO Marechal Duque de Caxias in February 2024, a testament to our team’s resilience, agility and dedication. Moving forward, we remain resolute in maintaining this momentum, navigating the evolving business environment with precision and safety at the forefront. While we anticipate an exceptionally busy and transformative year, we remain committed to setting new benchmarks in the FPSO industry. Alexander James Brigden Vice President, Offshore Business Focus Area What We Did in 2023 Operational Excellence Commitment to achieve the highest standard in project delivery • Ensured project delivery within schedule Asset operation and maintenance integrity • Updated Asset Integrity and HSSE Management Framework to align with industry standards • Achieved ISO 55001 Asset Management Certification and conducted Asset Integrity Audits • Schedule recovery for FPSO Marechal Duque de Caxias despite the supply chain disruption and lingering effects of COVID-19 • Conducted Asset Integrity Management Framework for FPSO Marechal Duque de Caxias • Strengthened Integrated Management System (IMS) for O&M and HSSE Integrity Asset Project Management and Execution Strengthened asset life extension • Efficiently managed projects throughout their lifecycle Asset demobilisation/relocation programmes • Remained committed to delivering quality services to clients • Attained Certificate of Classification extension for FSO Orkid • Completed Phase 2 Life Extension study for FPSO Kikeh • Demobilised FPSO Bunga Kertas to MMHE for refurbishment Towards Decarbonisation Incorporated sustainability into business and operations • Introduced Environmental Performance Monitoring System (EPMS) • Enhanced GHG Inventory Management and Scope 3 reporting • Successfully executed Proof of Concept for real-time GHG monitoring at FSO Orkid • Introduced the NBFPSO with MMEGA, achieving a 40% GHG reduction compared to similar-sized FPSOs HSEQ Excellence Sustained certifications • Recorded advanced standing in quality certifications • ISO 9001 and ISO 29001 for Quality Management System • ISO 45001 and ISO 14001 for HSE Management System • ISO 55001 for Asset Management System KEY FOCUS AREAS AND RESULTS Offshore Business Results KEY ACHIEVEMENTS Revenue (RM million) 2023 2022 2,548.2 4,322.4 Operating Profit (RM million) 2023 2022 652.2 665.8
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