LEIGHTON INTERNATIONAL’S MAGAZINE … · LEIGHTON INTERNATIONAL’S MAGAZINEPERSPECTIVE01 ISSUE...
Transcript of LEIGHTON INTERNATIONAL’S MAGAZINE … · LEIGHTON INTERNATIONAL’S MAGAZINEPERSPECTIVE01 ISSUE...
01PERSPECTIVELEIGHTON INTERNATIONAL’S MAGAZINE
ISSUE 06 � OCTOBER-DECEMBER 2010
33 Years in Malaysia
Focus on Singapore
New Projects in New Regions
BUILDING ON A STRONG TRACK RECORD
BIG OPPORTUNITIES IN A COMPETITIVE MARKET
TWO OFFSHORE PROJECT WINS
02 03
Since 1975 our unique combination
of local knowledge and extensive
international experience has made us
the international contractor of choice
in the countries in which we operate.
We operate in Malaysia, India,
Singapore, Sri Lanka and Brunei, and
are expanding further across Africa and
Central Asia. We employ people across
four operating divisions: India, Malaysia,
Offshore and New Markets (including
Africa and Central Asia).
We focus on five market segments:
Leighton International is a subsidiary
of Australia’s largest project development
and contracting group, the Leighton
Group. We benefit from our ability to call
LEIGHTON INTERNATIONAL IS ONE OF THE LEADING CONTRACTORS AND PROJECT DEVELOPERS IN ASIA AND INTERNATIONALLY IN THEOFFSHORE MARKET. OUR STRENGTH IS OUR ABILITY TO DEVELOP INNOVATIVE, PRACTICAL SOLUTIONS FOR OUR CLIENTS
upon the experience and technical
and financial expertise of the Group.
Perspective is a quarterly publication
produced by Leighton International. It
provides information on developments,
projects and issues relating to Leighton
International, Leighton Holdings and
associate companies.
If you would like to receive this
publication regularly, please email us
at [email protected] �
Published by:
Leighton International
13/F Menara Multi Purpose
8 Jalan Munshi Abdullah
50100 Kuala Lumpur
Malaysia
t: +60 3 2035 1688
f: +60 3 2693 4388
www.leightonint.com
All values are in US dollars unless otherwise indicated.
Introduction 04
In Brief 05
Overview Maintaining a Strong 06 Market Presence
Industry News Malaysia at a Crossroads 07 Leighton Returns to Singapore 08
Profiles Working in Singapore 10 New Starter 11
Snapshot 12
Profiles Local Knowledge, 14 International Experience The Leighton Way 15
Project Updates Northern Double Track 16 Labuan Water Pipeline 17
New Projects Tanzania SPM Project 18 Iraq Crude Oil Export 19 Expansion Project
Company News Leighton HSEC Award 2010 20 Quarterly Results 22
CONTENTS
16
2008
01PERSPECTIVELEIGHTON INTERNATIONAL’S MAGAZINE
ISSUE 06 � OCTOBER-DECEMBER 2010
33 Years in Malaysia
Focus on Singapore
New Projects in New Regions
BUILDING ON A STRONG TRACK RECORD
BIG OPPORTUNITIES IN A COMPETITIVE MARKET
TWO OFFSHORE PROJECT WINS
Boat Quay
Singapore
02 03
Since 1975 our unique combination
of local knowledge and extensive
international experience has made us
the international contractor of choice
in the countries in which we operate.
We operate in Malaysia, India,
Singapore, Sri Lanka and Brunei, and
are expanding further across Africa and
Central Asia. We employ people across
four operating divisions: India, Malaysia,
Offshore and New Markets (including
Africa and Central Asia).
We focus on five market segments:
Leighton International is a subsidiary
of Australia’s largest project development
and contracting group, the Leighton
Group. We benefit from our ability to call
LEIGHTON INTERNATIONAL IS ONE OF THE LEADING CONTRACTORS AND PROJECT DEVELOPERS IN ASIA AND INTERNATIONALLY IN THEOFFSHORE MARKET. OUR STRENGTH IS OUR ABILITY TO DEVELOP INNOVATIVE, PRACTICAL SOLUTIONS FOR OUR CLIENTS
upon the experience and technical
and financial expertise of the Group.
Perspective is a quarterly publication
produced by Leighton International. It
provides information on developments,
projects and issues relating to Leighton
International, Leighton Holdings and
associate companies.
If you would like to receive this
publication regularly, please email us
at [email protected] �
Published by:
Leighton International
13/F Menara Multi Purpose
8 Jalan Munshi Abdullah
50100 Kuala Lumpur
Malaysia
t: +60 3 2035 1688
f: +60 3 2693 4388
www.leightonint.com
All values are in US dollars unless otherwise indicated.
Introduction 04
In Brief 05
Overview Maintaining a Strong 06 Market Presence
Industry News Malaysia at a Crossroads 07 Leighton Returns to Singapore 08
Profiles Working in Singapore 10 New Starter 11
Snapshot 12
Profiles Local Knowledge, 14 International Experience The Leighton Way 15
Project Updates Northern Double Track 16 Labuan Water Pipeline 17
New Projects Tanzania SPM Project 18 Iraq Crude Oil Export 19 Expansion Project
Company News Leighton HSEC Award 2010 20 Quarterly Results 22
CONTENTS
16
2008
01PERSPECTIVELEIGHTON INTERNATIONAL’S MAGAZINE
ISSUE 06 � OCTOBER-DECEMBER 2010
33 Years in Malaysia
Focus on Singapore
New Projects in New Regions
BUILDING ON A STRONG TRACK RECORD
BIG OPPORTUNITIES IN A COMPETITIVE MARKET
TWO OFFSHORE PROJECT WINS
Boat Quay
Singapore
04 05
The strategic
decision for
Leighton
International to
expand our
operations back to
a familiar market,
Singapore, was made early this year as
the country steadily bounces back from
the global financial crisis following the
Singaporean Government’s robust
economic plans. The forecast for the
local construction sector is an annual
turnover of approximately US$20 billion
per annum.
Led by Brian Ticcioni, Area Manager
of our Singapore office, the Leighton
team is expanding and is already
capitalizing on the economic growth of
the island state with a number of project
opportunities being pursued (more on
page 8).
Elsewhere in South East Asia, the
Leighton Malaysia team is maintaining
our strong market presence with three
significant projects well underway, the
Northern Electrified Double Track project
between Ipoh and Padang Besar, a site
remediation project and the technically
challenging Labuan Water Pipeline
project that was recently completed
ahead of schedule (see project updates
on page 16). There are also a range of
construction, mining and marine projects
being pursued.
Our guest contributor for this South
East Asian issue of Perspective is
Michael Halpin, Chairman of the
Malaysia Australia Business Council. He
provides an overview on the Malaysian
market conditions and Government
initiatives, outlining the knock on effect
of these programmes on the local
construction industry, and possible
opportunities for Leighton (see page 7).
In the last quarter, Leighton Offshore
has successfully secured two SPM
installation projects in new regions
expanding Leighton International’s global
footprint. Leighton Offshore was
awarded a US$733 million EPC contract
by Iraq’s South Oil Company to install
three single point moorings (SPMs) and
120 kilometres of 48-inch pipelines. This
is an important project in Iraq’s strategic
energy development program.
The Gulf win comes closely behind the
recent US$66 million contract awarded
by the Tanzania Ports Authority to install
a SPM and pipelines in Dar Es Salaam.
Both contracts build on Leighton
Offshore’s SPM installations market
leader position.
The remainder of 2010 will continue to
be busy with ten projects underway and
several major tenders in the pipeline. �
DAVID SAVAGECHIEF OPERATING OFFICER,
LEIGHTON HOLDINGS
BOARD VISITS INDIA
TUNNEL PROJECTThe Leighton International
Board held their quarterly
board meeting at the
Mumbai offices in August
and visited the Chenani road
tunnel project in Jammu.
The Board was briefed on
the scope and challenges of
this major tunnelling project
for the India business.
NEW MARKETS, NEW OPPORTUNITIESLeighton New Markets is currently experiencing an exciting period
in the establishment of the new business. The team is currently
preparing a bid for a major mining project in Botswana, as well as
examining other infrastructure project opportunities in Africa.
STEALTH ARRIVES IN AUSTRALIA Leighton brings its internationally gained experience in subsea
pipelay back into Australia. Its barge, Leighton Stealth, arrived in
Dampier, Western Australia, in October to start work on the Devil
Creek Development Project.
INDUSTRY RECOGNITION Leighton has been accepted
as a member of the International
Marine Contractors Association
(IMCA). IMCA is a respected
Association promoting
operational efficiency, quality,
health, safety, environmental
and technical standards. In
September, Leighton Offshore
received approval from the
National Offshore Petroleum
Safety Authority for the Stealth
Safety Case. This is a landmark
achievement as the safety case
was one of the first to be done
in-house by an organisation
and effectively demonstrates
Leighton’s “can do” approach
to achieving high standards
of performance.
ONGC PRP-2 SEASON THREE KICKS OFF The third phase of the Pipeline Replacement Project for Oil and Natural Gas Corporation India (ONGC) commenced in October following two successful seasons for Leighton. ONGC is Asia’s largest oil and gas exploration and production company and contributes over 78% of India’s oil and gas production.
STEALTH ARRIVES IN AUSTRALIA
IN BRIEF
LEIGHTON MYNX UPGRADEDLeighton’s construction vessel Mynx was
relaunched in September following its
successful upgrade. The upgrade
covered the accommodation,
modifications to bring the construction
vessel to full compliance with the ISPS
code and improvements to suit latest
class requirements, operational and client
needs. She is currently in North-West
India undertaking works associated with
the Mangala Pipeline Project for Cairn
Energy India Ltd.
INTRODUCTION IN BRIEF
� Your feedback is important to us, and I encourage you to send any comments
you may have on this issue of Perspective, or suggestions for future issues,
DAVID STEWART TO SUCCEED WAL KING LEIGHTON HOLDINGS ANNOUNCED WAL KING WILL RETIRE AFTER 23 YEARS AS CHIEF EXECUTIVE OFFICER AND MANAGING DIRECTOR EFFECTIVE 1ST JANUARY 2011. DAVID STEWART (PICTURED), CURRENTLY CHIEF OPERATING OFFICER OF LEIGHTON HOLDINGS, WILL ASSUME THE ROLE OF CEO EFFECTIVE FROM THAT DATE.
LEIGHTON INTERNATIONAL REFOCUSSED ON SINGAPORE
THIS YEAR, A MARKET THE GROUP IS COMMITTED TO
GROWING. WE WILL BE INTRODUCING OUR SINGAPORE
OPERATIONS IN THIS ISSUE ALONG WITH AN OVERVIEW
ON LEIGHTON MALAYSIA AND THEIR WORK IN PROGRESS.
INTRODUCTION
City Skyline Singapore
04 05
The strategic
decision for
Leighton
International to
expand our
operations back to
a familiar market,
Singapore, was made early this year as
the country steadily bounces back from
the global financial crisis following the
Singaporean Government’s robust
economic plans. The forecast for the
local construction sector is an annual
turnover of approximately US$20 billion
per annum.
Led by Brian Ticcioni, Area Manager
of our Singapore office, the Leighton
team is expanding and is already
capitalizing on the economic growth of
the island state with a number of project
opportunities being pursued (more on
page 8).
Elsewhere in South East Asia, the
Leighton Malaysia team is maintaining
our strong market presence with three
significant projects well underway, the
Northern Electrified Double Track project
between Ipoh and Padang Besar, a site
remediation project and the technically
challenging Labuan Water Pipeline
project that was recently completed
ahead of schedule (see project updates
on page 16). There are also a range of
construction, mining and marine projects
being pursued.
Our guest contributor for this South
East Asian issue of Perspective is
Michael Halpin, Chairman of the
Malaysia Australia Business Council. He
provides an overview on the Malaysian
market conditions and Government
initiatives, outlining the knock on effect
of these programmes on the local
construction industry, and possible
opportunities for Leighton (see page 7).
In the last quarter, Leighton Offshore
has successfully secured two SPM
installation projects in new regions
expanding Leighton International’s global
footprint. Leighton Offshore was
awarded a US$733 million EPC contract
by Iraq’s South Oil Company to install
three single point moorings (SPMs) and
120 kilometres of 48-inch pipelines. This
is an important project in Iraq’s strategic
energy development program.
The Gulf win comes closely behind the
recent US$66 million contract awarded
by the Tanzania Ports Authority to install
a SPM and pipelines in Dar Es Salaam.
Both contracts build on Leighton
Offshore’s SPM installations market
leader position.
The remainder of 2010 will continue to
be busy with ten projects underway and
several major tenders in the pipeline. �
DAVID SAVAGECHIEF OPERATING OFFICER,
LEIGHTON HOLDINGS
BOARD VISITS INDIA
TUNNEL PROJECTThe Leighton International
Board held their quarterly
board meeting at the
Mumbai offices in August
and visited the Chenani road
tunnel project in Jammu.
The Board was briefed on
the scope and challenges of
this major tunnelling project
for the India business.
NEW MARKETS, NEW OPPORTUNITIESLeighton New Markets is currently experiencing an exciting period
in the establishment of the new business. The team is currently
preparing a bid for a major mining project in Botswana, as well as
examining other infrastructure project opportunities in Africa.
STEALTH ARRIVES IN AUSTRALIA Leighton brings its internationally gained experience in subsea
pipelay back into Australia. Its barge, Leighton Stealth, arrived in
Dampier, Western Australia, in October to start work on the Devil
Creek Development Project.
INDUSTRY RECOGNITION Leighton has been accepted
as a member of the International
Marine Contractors Association
(IMCA). IMCA is a respected
Association promoting
operational efficiency, quality,
health, safety, environmental
and technical standards. In
September, Leighton Offshore
received approval from the
National Offshore Petroleum
Safety Authority for the Stealth
Safety Case. This is a landmark
achievement as the safety case
was one of the first to be done
in-house by an organisation
and effectively demonstrates
Leighton’s “can do” approach
to achieving high standards
of performance.
ONGC PRP-2 SEASON THREE KICKS OFF The third phase of the Pipeline Replacement Project for Oil and Natural Gas Corporation India (ONGC) commenced in October following two successful seasons for Leighton. ONGC is Asia’s largest oil and gas exploration and production company and contributes over 78% of India’s oil and gas production.
STEALTH ARRIVES IN AUSTRALIA
IN BRIEF
LEIGHTON MYNX UPGRADEDLeighton’s construction vessel Mynx was
relaunched in September following its
successful upgrade. The upgrade
covered the accommodation,
modifications to bring the construction
vessel to full compliance with the ISPS
code and improvements to suit latest
class requirements, operational and client
needs. She is currently in North-West
India undertaking works associated with
the Mangala Pipeline Project for Cairn
Energy India Ltd.
INTRODUCTION IN BRIEF
� Your feedback is important to us, and I encourage you to send any comments
you may have on this issue of Perspective, or suggestions for future issues,
DAVID STEWART TO SUCCEED WAL KING LEIGHTON HOLDINGS ANNOUNCED WAL KING WILL RETIRE AFTER 23 YEARS AS CHIEF EXECUTIVE OFFICER AND MANAGING DIRECTOR EFFECTIVE 1ST JANUARY 2011. DAVID STEWART (PICTURED), CURRENTLY CHIEF OPERATING OFFICER OF LEIGHTON HOLDINGS, WILL ASSUME THE ROLE OF CEO EFFECTIVE FROM THAT DATE.
LEIGHTON INTERNATIONAL REFOCUSSED ON SINGAPORE
THIS YEAR, A MARKET THE GROUP IS COMMITTED TO
GROWING. WE WILL BE INTRODUCING OUR SINGAPORE
OPERATIONS IN THIS ISSUE ALONG WITH AN OVERVIEW
ON LEIGHTON MALAYSIA AND THEIR WORK IN PROGRESS.
INTRODUCTION
City Skyline Singapore
06 07INDUSTRY NEWS
“Leighton will still have to compete with other large international contractors such as those from China. The Chinese in particular are able to quote very aggressive prices, however Leighton with its proven track record of project delivery, high standards of site safety and adherence to international environmental standards is well placed to secure some of these mega projects.”
“We have to retain and develop our ability to re-engineer conventional designs, introduce the latest methods of construction, and apply project delivery mechanisms that generate cost, schedule and delivery efficiencies.”
OVERVIEW
HEADING LEIGHTON MALAYSIA, SINGAPORE AND BRUNEI; GENERAL MANAGER
TONY HARVEY REVIEWS PAST ACHIEVEMENTS AND CURRENT TARGETS SET AGAINST
A CHALLENGING SOUTH EAST ASIAN MARKET.
MICHAEL HALPIN, MALAYSIA AUSTRALIA BUSINESS COUNCIL CHAIRMAN, PROVIDES
AN UPDATE ON THE GOVERNMENT OF MALAYSIA’S STRATEGIES FOR THE LOCAL
BUILDING INDUSTRY AND POTENTIAL BUSINESS OPPORTUNITIES FOR LEIGHTON.
MAINTAINING A STRONG MARKET PRESENCE
MALAYSIA AT A CROSSROADS
This is our 33rd year
of business in Malaysia
having commenced
our involvement in
1977 with the Labuan
Flour Mill Project in
Sabah, East Malaysia.
The key to our success has been to
maintain our competitive edge ahead of
maturing local contracting companies
and this will continue to be the challenge.
In this regard, we have to retain and
develop our ability to re-engineer
conventional designs, introduce the
latest methods of construction, and
apply project delivery mechanisms that
generate cost, schedule and delivery
efficiencies.
In terms of technical ability, there
is very little that we cannot do in our
market sectors. We have a team of
personnel with the ability to respond to
technically challenging and financially
complex deals. Therein lies our strength,
our people. Ultimately, we need to
capitalise on our flexibility, versatility
and expertise to remain relevant in a
market that is becoming increasingly
competitive.
WORKING IN COLLABORATION
Currently, we are undertaking the
largest rail works project undertaken in
Malaysia that involves 760 kilometers
of track length from Ipoh to Padang
Besar, which will enable train travel at
speeds of 160 kilometers per hour from
Kuala Lumpur to the Thai border. Having
completed the 400 kilometers track
Malaysia has come
through the most
recent global
economic crisis in far
better condition than
many of the worlds
developed nations.
Never the less, whilst putting in place
measures to keep Malaysia from sinking
into a recession, the government under
the leadership of Prime Minister Dato’
Sri Mohd Najib Tun Abdul Razak also
designed various strategies to lift
Malaysia out of the Middle Income
Trap in which its population has
found themselves.
Malaysia is now at a crossroads.
Its planned route leading to High
Income Nation status with the other
routes leading to, at best economic
mediocrity. Utilising the government’s
planned strategies of, One Malaysia, the
Government Transformation Programme,
the New Economic Model and the
10th Malaysia Plan, the Prime Minister
should be able to reach his chosen
destination for the country with his
ministers full support and with effective
implementation of the government’s
policies by the civil service.
How does this benefit the Malaysian
construction industry? Under the 10th
Malaysia Plan there is a need to develop
World Class Infrastructure which will
where appropriate be developed
using the Public-Private Partnership
(PPP) model. There is also a need to
integrate water supply and sewerage
systems and to expand the availability
of electricity into outlying rural areas and
the continued development of Malaysia’s
oil field services sector. These should
give rise to construction project large
and small to achieve these targets.
What is the role for construction
companies such as Leighton Malaysia?
Whilst many of the likely projects can
be undertaken by local construction
companies, some of the projects
are likely to be very large and with
length Phase 1 works from Rawang
to Ipoh, Leighton is the premier track
works contractor in Malaysia. Because
of the specialised skill and fleet of
equipment within our rail business, there
is a great opportunity to collaborate
with the other subsidiaries in the
Leighton Group to pursue new business
in markets outside of our current
geographical areas.
Such collaboration across the
Leighton International business
operations is already evident in our
offshore business, the most recent
successful delivery being the Labuan
Water Supply Offshore Pipeline project
in September this year. This was a
technically challenging initiative delivered
on time and budget due to an excellent
team of people utilising the Group’s
state of the art marine assets.
Our project team on a contaminated
facility site remediation project, which
involves retrieving and safely disposing
of radioactive materials from an
existing storage facility, is making
excellent progress. This project was
secured due to our ability to work
in close collaboration with our client
in developing precise methods that
comply with onerous requirements of
the Atomic Energy Licensing Board and
developing an equitable price evaluation
plan with shared risks to deal with the
unknown conditions inherent in a project
of this nature. Our strength as always
is in developing innovative solutions
to complex problems and the ability to
take on non traditional contract delivery
methods.
the PPP model in mind, will require
access to high levels of funding and
an international level of technical
expertise not widely available to many
local contractors. Whilst construction
companies such as Leighton have
international expertise and can access
the required funding, they will still have
to compete with other large international
contractors such as those from China.
The Chinese in particular are able to
FUTURE GOALSLooking ahead we are pursuing
two excellent opportunities in
Malaysia related to multi-purpose dam
construction and coal mining, both
of which involve Leighton taking on a
project development role. This is made
possible given our excellent relationship
with Emrail and their shareholding within
Leighton Malaysia. Other immediate
opportunities within Malaysia include
expansion of the LBT jetty facility,
construction of a new material handling
jetty facility for VALE and expansion of
an existing major highway. Longer term
opportunities in Malaysia relate to the
government’s drive to expand the LRT
and freight cargo rail network.
With the recognisable upturn in
Singapore where the construction
sector is expected to experience annual
turnover in excess of US$20 billion per
annum for the coming five years, and
with available margins also expected to
improve, we have re-entered this market
with confidence and high expectations.
Currently, we are working on several
initiatives with the major initiatives
being the 320Mld TUAS Desalination
Plant and various tunnel construction
packages for the Down Town Line 3 LRT
Network. Our operation in Singapore is
spotlighted in this issue of Perspective
(see page 8).
The Malaysian operations, including
Singapore and Brunei, have made
significant contribution to the Group over
the years and 2010 was another great
year. We look forward to an even better
year in 2011. �
quote very aggressive prices, however
Leighton with its proven track record of
project delivery, high standards of site
safety and adherence to international
environmental standards is well placed
to secure some of these mega projects.
The future is going to be interesting. It
will certainly be challenging, but with the
right skills and experience the rewards
at the end are likely to justify the effort. �
Duta Plaza
Kuala Lumpur
06 07INDUSTRY NEWS
“Leighton will still have to compete with other large international contractors such as those from China. The Chinese in particular are able to quote very aggressive prices, however Leighton with its proven track record of project delivery, high standards of site safety and adherence to international environmental standards is well placed to secure some of these mega projects.”
“We have to retain and develop our ability to re-engineer conventional designs, introduce the latest methods of construction, and apply project delivery mechanisms that generate cost, schedule and delivery efficiencies.”
OVERVIEW
HEADING LEIGHTON MALAYSIA, SINGAPORE AND BRUNEI; GENERAL MANAGER
TONY HARVEY REVIEWS PAST ACHIEVEMENTS AND CURRENT TARGETS SET AGAINST
A CHALLENGING SOUTH EAST ASIAN MARKET.
MICHAEL HALPIN, MALAYSIA AUSTRALIA BUSINESS COUNCIL CHAIRMAN, PROVIDES
AN UPDATE ON THE GOVERNMENT OF MALAYSIA’S STRATEGIES FOR THE LOCAL
BUILDING INDUSTRY AND POTENTIAL BUSINESS OPPORTUNITIES FOR LEIGHTON.
MAINTAINING A STRONG MARKET PRESENCE
MALAYSIA AT A CROSSROADS
This is our 33rd year
of business in Malaysia
having commenced
our involvement in
1977 with the Labuan
Flour Mill Project in
Sabah, East Malaysia.
The key to our success has been to
maintain our competitive edge ahead of
maturing local contracting companies
and this will continue to be the challenge.
In this regard, we have to retain and
develop our ability to re-engineer
conventional designs, introduce the
latest methods of construction, and
apply project delivery mechanisms that
generate cost, schedule and delivery
efficiencies.
In terms of technical ability, there
is very little that we cannot do in our
market sectors. We have a team of
personnel with the ability to respond to
technically challenging and financially
complex deals. Therein lies our strength,
our people. Ultimately, we need to
capitalise on our flexibility, versatility
and expertise to remain relevant in a
market that is becoming increasingly
competitive.
WORKING IN COLLABORATION
Currently, we are undertaking the
largest rail works project undertaken in
Malaysia that involves 760 kilometers
of track length from Ipoh to Padang
Besar, which will enable train travel at
speeds of 160 kilometers per hour from
Kuala Lumpur to the Thai border. Having
completed the 400 kilometers track
Malaysia has come
through the most
recent global
economic crisis in far
better condition than
many of the worlds
developed nations.
Never the less, whilst putting in place
measures to keep Malaysia from sinking
into a recession, the government under
the leadership of Prime Minister Dato’
Sri Mohd Najib Tun Abdul Razak also
designed various strategies to lift
Malaysia out of the Middle Income
Trap in which its population has
found themselves.
Malaysia is now at a crossroads.
Its planned route leading to High
Income Nation status with the other
routes leading to, at best economic
mediocrity. Utilising the government’s
planned strategies of, One Malaysia, the
Government Transformation Programme,
the New Economic Model and the
10th Malaysia Plan, the Prime Minister
should be able to reach his chosen
destination for the country with his
ministers full support and with effective
implementation of the government’s
policies by the civil service.
How does this benefit the Malaysian
construction industry? Under the 10th
Malaysia Plan there is a need to develop
World Class Infrastructure which will
where appropriate be developed
using the Public-Private Partnership
(PPP) model. There is also a need to
integrate water supply and sewerage
systems and to expand the availability
of electricity into outlying rural areas and
the continued development of Malaysia’s
oil field services sector. These should
give rise to construction project large
and small to achieve these targets.
What is the role for construction
companies such as Leighton Malaysia?
Whilst many of the likely projects can
be undertaken by local construction
companies, some of the projects
are likely to be very large and with
length Phase 1 works from Rawang
to Ipoh, Leighton is the premier track
works contractor in Malaysia. Because
of the specialised skill and fleet of
equipment within our rail business, there
is a great opportunity to collaborate
with the other subsidiaries in the
Leighton Group to pursue new business
in markets outside of our current
geographical areas.
Such collaboration across the
Leighton International business
operations is already evident in our
offshore business, the most recent
successful delivery being the Labuan
Water Supply Offshore Pipeline project
in September this year. This was a
technically challenging initiative delivered
on time and budget due to an excellent
team of people utilising the Group’s
state of the art marine assets.
Our project team on a contaminated
facility site remediation project, which
involves retrieving and safely disposing
of radioactive materials from an
existing storage facility, is making
excellent progress. This project was
secured due to our ability to work
in close collaboration with our client
in developing precise methods that
comply with onerous requirements of
the Atomic Energy Licensing Board and
developing an equitable price evaluation
plan with shared risks to deal with the
unknown conditions inherent in a project
of this nature. Our strength as always
is in developing innovative solutions
to complex problems and the ability to
take on non traditional contract delivery
methods.
the PPP model in mind, will require
access to high levels of funding and
an international level of technical
expertise not widely available to many
local contractors. Whilst construction
companies such as Leighton have
international expertise and can access
the required funding, they will still have
to compete with other large international
contractors such as those from China.
The Chinese in particular are able to
FUTURE GOALSLooking ahead we are pursuing
two excellent opportunities in
Malaysia related to multi-purpose dam
construction and coal mining, both
of which involve Leighton taking on a
project development role. This is made
possible given our excellent relationship
with Emrail and their shareholding within
Leighton Malaysia. Other immediate
opportunities within Malaysia include
expansion of the LBT jetty facility,
construction of a new material handling
jetty facility for VALE and expansion of
an existing major highway. Longer term
opportunities in Malaysia relate to the
government’s drive to expand the LRT
and freight cargo rail network.
With the recognisable upturn in
Singapore where the construction
sector is expected to experience annual
turnover in excess of US$20 billion per
annum for the coming five years, and
with available margins also expected to
improve, we have re-entered this market
with confidence and high expectations.
Currently, we are working on several
initiatives with the major initiatives
being the 320Mld TUAS Desalination
Plant and various tunnel construction
packages for the Down Town Line 3 LRT
Network. Our operation in Singapore is
spotlighted in this issue of Perspective
(see page 8).
The Malaysian operations, including
Singapore and Brunei, have made
significant contribution to the Group over
the years and 2010 was another great
year. We look forward to an even better
year in 2011. �
quote very aggressive prices, however
Leighton with its proven track record of
project delivery, high standards of site
safety and adherence to international
environmental standards is well placed
to secure some of these mega projects.
The future is going to be interesting. It
will certainly be challenging, but with the
right skills and experience the rewards
at the end are likely to justify the effort. �
Duta Plaza
Kuala Lumpur
08 09NEW PROJECTS
Singapore’s strategic
location and political
stability have made
it an attractive oasis
for many foreign
corporations seeking
to target the Asian
market. Leighton International has
recently made the strategic decision to
re-enter the Singapore market on the
back of an upturn in Singapore’s
economic growth and recognition that
the coming five to seven years will see
the development of a substantial
number of large, private and publically
funded infrastructure projects.
Singapore’s construction sector is
highly developed with a reputation for
being ultra – competitive with
comparatively low margins but balanced
by low taxation, low bureaucracy and
high levels of transparency, corporate
protection and local and foreign
investment. Consequently all of the
regional household name construction
groups together with multi-nationals
from Europe and North America have a
strong presence and are competing with
long established local companies for
a slice of an industry that is expected
to turn over in excess of US$20 billion
in year 2010.
INDUSTRY NEWS
For Leighton, since first entering this
market back in 1992, Singapore has
offered a number of on-shore and
off-shore boutique project opportunities
which have proven to be highly lucrative
and successful.
Our previous attempt in 2003 to gain
a permanent foothold in Singapore
coincided with a local economic
downturn, the SARS crisis and the
simultaneous increase in construction
activity in India and the Middle East.
Consequently, in 2005 the decision
was made to mothball our Singapore
operation until a more rewarding
business environment returned.
The re-entry in June of this year is
quickly proving to be rewarding with the
Singapore office already contending with
a number of tenders including three
co-gen power plant extensions, a waste
facility project in Brunei with a Singapore
project developer, Tuas Desalination
PPP Project, Downtown Line 3 MRT
extension and Downtown Line 3 track
works. The programme of future tenders
already extends into third quarter 2011
and whilst the local market remains
highly competitive and commercially
aggressive, there exists a strong belief
that this time around Leighton’s
presence in Singapore will be a long
and successful one. �
LEIGHTON RETURNS TO SINGAPORELEIGHTON SINGAPORE AREA MANAGER,
BRIAN TICCIONI, SHARES HOW LEIGHTON IS
WORKING TOWARDS GETTING A SLICE OF
AN ULTRA–COMPETITIVE MARKET.
“The programme of future tenders already extends into third quarter 2011 and whilst the local market remains highly competitive and commercially aggressive, there exists a strong belief that this time around Leighton’s presence in Singapore will be a long and successful one.”
Left to Right
CCR Block Mechanical & Underground Installation;
Pasir Panjang to Pulau Bukom Pipeline; Pan United Cement Silo
08 09NEW PROJECTS
Singapore’s strategic
location and political
stability have made
it an attractive oasis
for many foreign
corporations seeking
to target the Asian
market. Leighton International has
recently made the strategic decision to
re-enter the Singapore market on the
back of an upturn in Singapore’s
economic growth and recognition that
the coming five to seven years will see
the development of a substantial
number of large, private and publically
funded infrastructure projects.
Singapore’s construction sector is
highly developed with a reputation for
being ultra – competitive with
comparatively low margins but balanced
by low taxation, low bureaucracy and
high levels of transparency, corporate
protection and local and foreign
investment. Consequently all of the
regional household name construction
groups together with multi-nationals
from Europe and North America have a
strong presence and are competing with
long established local companies for
a slice of an industry that is expected
to turn over in excess of US$20 billion
in year 2010.
INDUSTRY NEWS
For Leighton, since first entering this
market back in 1992, Singapore has
offered a number of on-shore and
off-shore boutique project opportunities
which have proven to be highly lucrative
and successful.
Our previous attempt in 2003 to gain
a permanent foothold in Singapore
coincided with a local economic
downturn, the SARS crisis and the
simultaneous increase in construction
activity in India and the Middle East.
Consequently, in 2005 the decision
was made to mothball our Singapore
operation until a more rewarding
business environment returned.
The re-entry in June of this year is
quickly proving to be rewarding with the
Singapore office already contending with
a number of tenders including three
co-gen power plant extensions, a waste
facility project in Brunei with a Singapore
project developer, Tuas Desalination
PPP Project, Downtown Line 3 MRT
extension and Downtown Line 3 track
works. The programme of future tenders
already extends into third quarter 2011
and whilst the local market remains
highly competitive and commercially
aggressive, there exists a strong belief
that this time around Leighton’s
presence in Singapore will be a long
and successful one. �
LEIGHTON RETURNS TO SINGAPORELEIGHTON SINGAPORE AREA MANAGER,
BRIAN TICCIONI, SHARES HOW LEIGHTON IS
WORKING TOWARDS GETTING A SLICE OF
AN ULTRA–COMPETITIVE MARKET.
“The programme of future tenders already extends into third quarter 2011 and whilst the local market remains highly competitive and commercially aggressive, there exists a strong belief that this time around Leighton’s presence in Singapore will be a long and successful one.”
Left to Right
CCR Block Mechanical & Underground Installation;
Pasir Panjang to Pulau Bukom Pipeline; Pan United Cement Silo
10 11
NAME: EVELYN ANG
JOB TITLE: SENIOR QUANTITY SURVEYOR
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
What is the most rewarding thing about your job?I take pride in the projects that I’ve been
involved with because each and every
project is so unique with its own set
of challenges, team members and
counterparts. Each experience is
irreplaceable and there is always
something new I can learn.
Where do you see the construction industry in Singapore placed for the year ahead?I think the Singapore construction
industry looks positive over the next
few years with projects planned in
the pipeline from both public and
private sectors. �
PROFILES PROFILES
WORKING IN SINGAPORE
NEW STARTER
“Singapore is resultantly a highly livable city and a location that you become immediately comfortable with. A similar maxim stands for the business world where extremely high rates of proficiency and efficiency and an emphasis on delivering quality results, minimizes the frustration levels.”
How long have you been working in the industry and with Leighton Singapore? I have been in the local construction
industry for more than 15 years and
newly added to Leighton Singapore a
month ago. Past experience involved
oil, gas, petrochemical, waste water
treatment and pharmaceutical plants,
as well as residential building and
warehouses.
What attracts you to the work?I have always been fascinated by
how tall buildings, beautiful bridges,
magnificent dams and intriguing
chemical plants are constructed. It is
really amazing. And the satisfaction of
being part of a team that transforms
the architect’s or engineer’s concept
into reality.
What does a normal working day look like for you?I guess a normal day is rushing against
time to get things done, perusing
through contract bible and do the best
to defend any monetary claim in each
contract. Leighton Singapore, however,
is newly set up and the priority currently
is to work on tenders within the
stipulated timeframe and contribute my
best to assist in securing the projects.
What are your day-to-day challenges you face at work?The biggest challenge is to keep cool
under constant unreasonable demands.
But this is part and parcel of the
construction industry. As mentioned
earlier, due to Leighton Singapore being
newly set up, the daily challenge is how
do I put my best knowledge forward and
assist the bid team in securing projects.
What are you initial impressions of starting work in Leighton Singapore?First and foremost, I’m extremely happy
to be back working in South East Asia
with Leighton International following my
three years in the Gulf with the Habtoor/
Leighton Group. Upon arriving what
immediately hit me was the apparent
health of the construction sector in
Singapore. The volume and scale
of projects that are currently being
undertaken coupled with the
Government’s future plans to further
expand what is already a highly
developed core infrastructure means
that the present S$20 billion per annum
construction spend won’t reduce in the
foreseeable future. For Leighton
Singapore in the short to long-term
that means a wealth of opportunities to
pursue, albeit recognisably in a highly
competitive commercial environment.
I’ve also been enthused by the level
of sophistication of our Joint Venture
partners, the knowledge and capability
of the local consultants we’ve interfaced
with, the professionalism of prospective
clients we’ve been introduced to and
the strong capability and work ethics of
the staff we have employed.
How long have you been working in the industry?I’ve been in the industry for over 25
years and essentially I finished fifth
form on a Friday and started work the
following Monday. I started my career
with Bovis Construction in Glasgow
where I was placed on a five year
traineeship where during a working
week I was on site three days and
studying at university two days. It was a
great way of combining theory with solid
practical experience but sadly, such
opportunities for new blood entering the
industry are few and far between these
days. After graduating I left Bovis and
joined Wimpey Construction where I
had eight terrific years working with a
young, vibrant team of construction
professionals and undertaking a number
of highly successful building projects
during that period. In the late nineties,
I decided to venture overseas, joined
Leighton in Malaysia and since then I’ve
had over 12 thoroughly enjoyable years.
What do you think are the key challenges for your job? Currently, the focus is pointed towards
gaining sufficient local knowledge and
expertise to identify the edge that will
enable us to successfully compete in
what stands as a hard dollar based,
highly competitive, mature market.
Foreseeably, the challenges will change
from the point we secure our first project
and as we develop from a fledgling
business into an established
operating unit.
What is the most rewarding thing about your job? I find working in this industry to be
intrinsically rewarding. We work in an
industry where every day is different,
each project opportunity is unique and
where every project brings its own
multi-facetted type and degree of
challenge. In my mind there is nothing
more satisfying than having played a
part in delivering a successful project
and in so doing, returned the optimum
bottom line.
How do you find living and working in Singapore?Having spent the previous three years
in the scorching, sandy wastes of
Abu Dhabi, Sunderland never mind
Singapore would have been a
substantial step up! Kidding aside, there
does exist such an ingrained national
culture and pride in delivering superior
levels of service. Singapore is resultantly
a highly livable city and a location that
you become immediately comfortable
with. A similar maxim stands for the
business world where extremely high
rates of proficiency and efficiency and
an emphasis on delivering quality results,
minimizes the frustration levels. ��
NAME: BRIAN TICCIONI
JOB TITLE: AREA MANAGER
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
Pan United Cement Silo
Singapore
10 11
NAME: EVELYN ANG
JOB TITLE: SENIOR QUANTITY SURVEYOR
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
What is the most rewarding thing about your job?I take pride in the projects that I’ve been
involved with because each and every
project is so unique with its own set
of challenges, team members and
counterparts. Each experience is
irreplaceable and there is always
something new I can learn.
Where do you see the construction industry in Singapore placed for the year ahead?I think the Singapore construction
industry looks positive over the next
few years with projects planned in
the pipeline from both public and
private sectors. �
PROFILES PROFILES
WORKING IN SINGAPORE
NEW STARTER
“Singapore is resultantly a highly livable city and a location that you become immediately comfortable with. A similar maxim stands for the business world where extremely high rates of proficiency and efficiency and an emphasis on delivering quality results, minimizes the frustration levels.”
How long have you been working in the industry and with Leighton Singapore? I have been in the local construction
industry for more than 15 years and
newly added to Leighton Singapore a
month ago. Past experience involved
oil, gas, petrochemical, waste water
treatment and pharmaceutical plants,
as well as residential building and
warehouses.
What attracts you to the work?I have always been fascinated by
how tall buildings, beautiful bridges,
magnificent dams and intriguing
chemical plants are constructed. It is
really amazing. And the satisfaction of
being part of a team that transforms
the architect’s or engineer’s concept
into reality.
What does a normal working day look like for you?I guess a normal day is rushing against
time to get things done, perusing
through contract bible and do the best
to defend any monetary claim in each
contract. Leighton Singapore, however,
is newly set up and the priority currently
is to work on tenders within the
stipulated timeframe and contribute my
best to assist in securing the projects.
What are your day-to-day challenges you face at work?The biggest challenge is to keep cool
under constant unreasonable demands.
But this is part and parcel of the
construction industry. As mentioned
earlier, due to Leighton Singapore being
newly set up, the daily challenge is how
do I put my best knowledge forward and
assist the bid team in securing projects.
What are you initial impressions of starting work in Leighton Singapore?First and foremost, I’m extremely happy
to be back working in South East Asia
with Leighton International following my
three years in the Gulf with the Habtoor/
Leighton Group. Upon arriving what
immediately hit me was the apparent
health of the construction sector in
Singapore. The volume and scale
of projects that are currently being
undertaken coupled with the
Government’s future plans to further
expand what is already a highly
developed core infrastructure means
that the present S$20 billion per annum
construction spend won’t reduce in the
foreseeable future. For Leighton
Singapore in the short to long-term
that means a wealth of opportunities to
pursue, albeit recognisably in a highly
competitive commercial environment.
I’ve also been enthused by the level
of sophistication of our Joint Venture
partners, the knowledge and capability
of the local consultants we’ve interfaced
with, the professionalism of prospective
clients we’ve been introduced to and
the strong capability and work ethics of
the staff we have employed.
How long have you been working in the industry?I’ve been in the industry for over 25
years and essentially I finished fifth
form on a Friday and started work the
following Monday. I started my career
with Bovis Construction in Glasgow
where I was placed on a five year
traineeship where during a working
week I was on site three days and
studying at university two days. It was a
great way of combining theory with solid
practical experience but sadly, such
opportunities for new blood entering the
industry are few and far between these
days. After graduating I left Bovis and
joined Wimpey Construction where I
had eight terrific years working with a
young, vibrant team of construction
professionals and undertaking a number
of highly successful building projects
during that period. In the late nineties,
I decided to venture overseas, joined
Leighton in Malaysia and since then I’ve
had over 12 thoroughly enjoyable years.
What do you think are the key challenges for your job? Currently, the focus is pointed towards
gaining sufficient local knowledge and
expertise to identify the edge that will
enable us to successfully compete in
what stands as a hard dollar based,
highly competitive, mature market.
Foreseeably, the challenges will change
from the point we secure our first project
and as we develop from a fledgling
business into an established
operating unit.
What is the most rewarding thing about your job? I find working in this industry to be
intrinsically rewarding. We work in an
industry where every day is different,
each project opportunity is unique and
where every project brings its own
multi-facetted type and degree of
challenge. In my mind there is nothing
more satisfying than having played a
part in delivering a successful project
and in so doing, returned the optimum
bottom line.
How do you find living and working in Singapore?Having spent the previous three years
in the scorching, sandy wastes of
Abu Dhabi, Sunderland never mind
Singapore would have been a
substantial step up! Kidding aside, there
does exist such an ingrained national
culture and pride in delivering superior
levels of service. Singapore is resultantly
a highly livable city and a location that
you become immediately comfortable
with. A similar maxim stands for the
business world where extremely high
rates of proficiency and efficiency and
an emphasis on delivering quality results,
minimizes the frustration levels. ��
NAME: BRIAN TICCIONI
JOB TITLE: AREA MANAGER
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
Pan United Cement Silo
Singapore
12 13XXXXXXXXXXXXX
SNAPSHOTLeighton Malaysia – Emrail’s Northern Double Track project from Ipoh to Padang Besar (more on page 16). �
12 13XXXXXXXXXXXXX
SNAPSHOTLeighton Malaysia – Emrail’s Northern Double Track project from Ipoh to Padang Besar (more on page 16). �
14 15PROFILES
INVESTING IN LEIGHTON
“Currently I have colleagues from England, Scotland, Australia and Malaysia working in the same office which exposes me greatly to the values and working styles of different nationalities.”
How long have you been working in the industry and with Leighton Singapore?I have been in the construction industry
for 20 years, working on projects that
range from Changi Airport’s Terminal 3
to MRT lines to high rise buildings and
educational institutions. I joined Leighton
Singapore in August 2010.
What attracts you to the work?In Singapore’s construction industry we
are able to meet and work with different
nationalities in the work place. This gives
me the opportunity to learn the values
and cultures of other races. Due to the
different ways my colleagues work, I
learn better methods of accomplishing
tasks and handling problems. In this
field of expertise, there is definitely more
than one way of doing my job so I take
pleasure in observing others’ working
skills, as well as accepting my weakness
and changing the way I deal with
problems relating to my work.
Currently I have colleagues from
England, Scotland, Australia and
Malaysia working in the same office
which exposes me greatly to the
values and working styles of
different nationalities.
What does a normal working day look like for you?My job scope is making contact and
sourcing for the right supplier and
sub-contractor for the tendering work.
We are tendering for the upcoming MRT
projects in Singapore currently.
What are your day-to-day challenges you face at work?The sub-contractors we engage not only
have to be cost effective and competent,
they must also demonstrate a strong
sense of safety commitment and
responsibility towards the environment.
What is the most rewarding thing about your job?The most immediate sense of
satisfaction is when I know the
project has been completed on
time and within the cost budget.
This proves that my team and I have
planned well and managed to come
up with the best of our abilities despite
our differences and limitations.
Also, knowing that ordinary people,
including our future generation will
benefit and enjoy the usage of a
structure for years to come feels
extremely rewarding.
What do you think sets Leighton apart from other contractors in Singapore?Unlike other local contractors,
Leighton focuses on high values and
unconventional projects which fully
utilise our expertise and strengths.
And that differentiate us from the rest.
Where do you see the opportunities for the business in the year ahead?As Singapore is experiencing strong
economic growth, it is projected that
there will also be a high growth in
construction industry for the next few
years. If we remain competent and
focus in this area, I am certain that we
will be able to secure some major
projects in the near future. �
PROFILES
NAME: SENTHIL KUMAR
JOB TITLE: SENIOR PROJECT MANAGER
LOCATION: MUMBAI, INDIA
PROJECT: PIPELINE REPLACEMENT PROJECT, SEASON 2 (PRP2)
How long have you been working in the industry and with Leighton? Started work as a chain boy on the M55
motorway project near Preston in the UK
in 1974, so I’ve been in the industry for
36 years. Studied Civil Engineering at
Bath University. After university I worked
in Eastbourne as a Graduate Engineer
for Sir Robert McAlpine for three years
on a “training under agreement” scheme,
which in those days enabled you to
complete your MICE and Chartered
Engineer course within three years. After
that I worked for COSTAIN in the UAE
as a Geotechnical Engineer on a large
underpass project in Abu Dhabi and on
DAS Island, an offshore installation, of
two kilometers long by one kilometer
wide in the middle of the Arabian Gulf.
Following this I worked for 18 years
with Freyssinet International from
France in many interesting bridge
and viaduct projects in many exciting
locations such as Turkey, Prince Edward
Island, Canada, Hong Kong, Vietnam,
Indonesia, Malaysia and Singapore.
I joined Leighton in 2002, working
in the Singapore office in Business
Development. Since then I have worked
in Kuala Lumpur, Abu Dhabi and now
back in Singapore.
What attracts you to the work?Working with Leighton is always
exciting and challenging. The energy
and enthusiasm in Leighton is
tremendous, everyone wants to be part
of the team that wins the projects. We
work long hours and we practice very
much the doctrine of ‘work hard, play
hard’. It’s a great atmosphere.
What do you think are the key challenges for your job?Winning our first major project in
Singapore is by far my greatest
challenge, which depends greatly on
support from all levels in the
organisation.
What do you think sets Leighton apart from other contractors in Singapore? We shall bring a new style of contracting
to Singapore, where everybody is part of
the project team and the ‘Leighton Way’
will be seen by our stakeholders and
peers as the right way. We shall become
a contractor who is seen to deliver on
time and with a Quality and Health &
Safety Standard above the other
contractors.
What do you see are the key strengths of the business?We have a good brand and a great
product, we just need to get that first
project and prove it to everyone. Our
Australian attitude will bring a fresh
breeze to the Singapore market and we
will build up a good team.
THE LEIGHTON WAY NAME: STEPHEN HEATH
JOB TITLE: PROJECT DEVELOPMENT MANAGER
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
Where do you see the construction industry in Singapore placed for the year ahead?Singapore is booming, it is the preferred
place for people to live and work in Asia
because everything works. We see the
Singapore Government is always
continually re-inventing itself to stay
ahead of the competition and stay
productive, consequently, there are
many new projects coming up in the
new Medical Hub, Mediaopolis, Seleter
Aerospace Park, Clean Tech Park,
Biopolis and the I-Park - just enormous
and it goes on like this for the next ten
years.
How do you find living and working in Singapore?Hard work and great fun. �
LOCAL KNOWLEDGE, INTERNATIONAL EXPERIENCE
NAME: JAMES TEO
JOB TITLE: PROCUREMENT MANAGER
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
Building Construction
Singapore
14 15PROFILES
INVESTING IN LEIGHTON
“Currently I have colleagues from England, Scotland, Australia and Malaysia working in the same office which exposes me greatly to the values and working styles of different nationalities.”
How long have you been working in the industry and with Leighton Singapore?I have been in the construction industry
for 20 years, working on projects that
range from Changi Airport’s Terminal 3
to MRT lines to high rise buildings and
educational institutions. I joined Leighton
Singapore in August 2010.
What attracts you to the work?In Singapore’s construction industry we
are able to meet and work with different
nationalities in the work place. This gives
me the opportunity to learn the values
and cultures of other races. Due to the
different ways my colleagues work, I
learn better methods of accomplishing
tasks and handling problems. In this
field of expertise, there is definitely more
than one way of doing my job so I take
pleasure in observing others’ working
skills, as well as accepting my weakness
and changing the way I deal with
problems relating to my work.
Currently I have colleagues from
England, Scotland, Australia and
Malaysia working in the same office
which exposes me greatly to the
values and working styles of
different nationalities.
What does a normal working day look like for you?My job scope is making contact and
sourcing for the right supplier and
sub-contractor for the tendering work.
We are tendering for the upcoming MRT
projects in Singapore currently.
What are your day-to-day challenges you face at work?The sub-contractors we engage not only
have to be cost effective and competent,
they must also demonstrate a strong
sense of safety commitment and
responsibility towards the environment.
What is the most rewarding thing about your job?The most immediate sense of
satisfaction is when I know the
project has been completed on
time and within the cost budget.
This proves that my team and I have
planned well and managed to come
up with the best of our abilities despite
our differences and limitations.
Also, knowing that ordinary people,
including our future generation will
benefit and enjoy the usage of a
structure for years to come feels
extremely rewarding.
What do you think sets Leighton apart from other contractors in Singapore?Unlike other local contractors,
Leighton focuses on high values and
unconventional projects which fully
utilise our expertise and strengths.
And that differentiate us from the rest.
Where do you see the opportunities for the business in the year ahead?As Singapore is experiencing strong
economic growth, it is projected that
there will also be a high growth in
construction industry for the next few
years. If we remain competent and
focus in this area, I am certain that we
will be able to secure some major
projects in the near future. �
PROFILES
NAME: SENTHIL KUMAR
JOB TITLE: SENIOR PROJECT MANAGER
LOCATION: MUMBAI, INDIA
PROJECT: PIPELINE REPLACEMENT PROJECT, SEASON 2 (PRP2)
How long have you been working in the industry and with Leighton? Started work as a chain boy on the M55
motorway project near Preston in the UK
in 1974, so I’ve been in the industry for
36 years. Studied Civil Engineering at
Bath University. After university I worked
in Eastbourne as a Graduate Engineer
for Sir Robert McAlpine for three years
on a “training under agreement” scheme,
which in those days enabled you to
complete your MICE and Chartered
Engineer course within three years. After
that I worked for COSTAIN in the UAE
as a Geotechnical Engineer on a large
underpass project in Abu Dhabi and on
DAS Island, an offshore installation, of
two kilometers long by one kilometer
wide in the middle of the Arabian Gulf.
Following this I worked for 18 years
with Freyssinet International from
France in many interesting bridge
and viaduct projects in many exciting
locations such as Turkey, Prince Edward
Island, Canada, Hong Kong, Vietnam,
Indonesia, Malaysia and Singapore.
I joined Leighton in 2002, working
in the Singapore office in Business
Development. Since then I have worked
in Kuala Lumpur, Abu Dhabi and now
back in Singapore.
What attracts you to the work?Working with Leighton is always
exciting and challenging. The energy
and enthusiasm in Leighton is
tremendous, everyone wants to be part
of the team that wins the projects. We
work long hours and we practice very
much the doctrine of ‘work hard, play
hard’. It’s a great atmosphere.
What do you think are the key challenges for your job?Winning our first major project in
Singapore is by far my greatest
challenge, which depends greatly on
support from all levels in the
organisation.
What do you think sets Leighton apart from other contractors in Singapore? We shall bring a new style of contracting
to Singapore, where everybody is part of
the project team and the ‘Leighton Way’
will be seen by our stakeholders and
peers as the right way. We shall become
a contractor who is seen to deliver on
time and with a Quality and Health &
Safety Standard above the other
contractors.
What do you see are the key strengths of the business?We have a good brand and a great
product, we just need to get that first
project and prove it to everyone. Our
Australian attitude will bring a fresh
breeze to the Singapore market and we
will build up a good team.
THE LEIGHTON WAY NAME: STEPHEN HEATH
JOB TITLE: PROJECT DEVELOPMENT MANAGER
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
Where do you see the construction industry in Singapore placed for the year ahead?Singapore is booming, it is the preferred
place for people to live and work in Asia
because everything works. We see the
Singapore Government is always
continually re-inventing itself to stay
ahead of the competition and stay
productive, consequently, there are
many new projects coming up in the
new Medical Hub, Mediaopolis, Seleter
Aerospace Park, Clean Tech Park,
Biopolis and the I-Park - just enormous
and it goes on like this for the next ten
years.
How do you find living and working in Singapore?Hard work and great fun. �
LOCAL KNOWLEDGE, INTERNATIONAL EXPERIENCE
NAME: JAMES TEO
JOB TITLE: PROCUREMENT MANAGER
LOCATION: SINGAPORE
PROJECT: CORPORATE OFFICE
Building Construction
Singapore
16 17COMPANY NEWS
THE GOVERNMENT OF MALAYSIA HAS EMBARKED ON A RAILWAY INFRASTRUCTURE
DEVELOPMENT PROJECT TO UPGRADE THE EXISTING SINGLE TRACK INTO
ELECTRIFIED DOUBLE TRACK RAILWAY IN BETWEEN IPOH AND THE BORDER TOWN
OF PADANG BESAR. LEIGHTON PROJECT DIRECTOR, CORMAC BRADY,
GIVES US A PROGRESS UPDATE.
ON TRACK TO DELIVER
Leighton Malaysia, in partnership with
Emrail, was awarded the Government
rail contract to construct 753 kilometers
of track works late last year. The
upgrade to a modern electrified double
track network will allow for an increased
line speed to 140 kilometers per hour
and a rise in both passenger and freight
capacities.
At the peak of construction, the total
workforce will be over 500 personnel
with the majority sourced from Malaysia,
India, Thailand, Philippines and
Bangladesh.
As with any track construction,
safety of existing passenger services
is a priority. All employees undergo a
one and half day course on line side
safety awareness training conducted
by KTMB (Malaysian Railways) as well
as various project site inductions. Strict
compliance to operating procedures for
access to the existing network has been
implemented for the project.
The works conducted to date have
been associated with site establishment,
construction of workshop and flashbutt
depot yards at Taiping and Jarak, as
well as site offices at Bukit Mertajam,
Taiping and Sungai Petani. The flashbutt
depot facilities are required to weld
88,000 tonnes of UIC 54 rail, received
from the client in 25 meter lengths, into
150 meter long strings for subsequent
transport via the existing rail network to
the various work locations. Production
of flashbutt welding is undertaken both
within fixed depots and on track with
equipment originally manufactured
in Austria, Italy and USA. Production
welding commenced on 6th September
2010 with approximately 10 kilometers
of tracks welded as off 24th September.
Construction of temporary track
work diversions has also commenced
which facilitates access for the staged
construction of earthworks. Even the
quantity of temporary track construction
at 70 kilometers is significant with
approximately 14 kilometers completed
to date.
In addition to the 88,000 tonnes
of rail, the client is also supplying
approximately three million tonnes of
ballast and 1.2 million concrete sleepers.
Emrail/Leighton at its peak production
is planning to construct over 40
kilometers of track per month utilising
an impressive fleet of track equipment
comprising nine Plasser tamping
machines, nine ballast regulators, four
flashbutt welding machines, rail steel
delivery trains capable of carrying 150
meters long welded rail strings and
ballast delivery trains consisting of 40
ballast wagons.
The anticipated completion date
for the track works component of the
project is the first quarter of 2013.
Establishment of such array of
specialist track construction equipment
together with a highly skilled and mobile
workforce will allow Emrail and Leighton
International to take full advantage of
the planned rail expansion in South
East Asia region. �
LABUAN PIPELINE PROJECT COMPLETED AHEAD OF SCHEDULE
The Government of Malaysia is
undertaking the development of a Water
Pipeline in Labuan, East Malaysia, to
mitigate the acute water shortage on
the island. In collaboration with Leighton
Offshore and in Joint Venture with
Kencana HL, Leighton Malaysia
delivered the following:
The delivery of existing 26 inch
pipeline – 22740 meters including the
supply of additional 600 meters of
new pipes by Kencana.
Pre-installation pipelay analysis
Install and pre-commission
approximately 22.8km of submarine
pipeline in max water depths of 22m.
Post trench approximately 1.8km at
three locations along the route
Interface with existing mudflats
contractor including undertaking a
midpoint tie-in.
A key challenge to the installation of the
pipeline was the constraints that the
physical characteristics of the free issued
pipeline poses in terms of its stiffness,
due to the relatively thick reinforced
concrete weight coating and its relatively
thin wall thickness.
The challenges that this poses include
the ability to install this pipeline using a
pipe lay barge that has sufficient track
A FEATHER IN THE CAP FOR LEIGHTON MALAYSIA AND LEIGHTON OFFSHORE AS THE
LABUAN WATER PIPELINE PROJECT IS COMPLETED A MONTH AHEAD OF SCHEDULE.
PROJECT UPDATES
tensioner capacity, and undertaking detail
stress analysis using finite element
methods to identify and reduce bending
stresses during installation. Leighton
Stealth was used to install the pipeline
using the S-Lay method.
Leighton completed the project on
the 10th September, over a month ahead
of schedule.
Project Manager, Edgar Ramani, said
“It was a demanding project set against a
very tight timeline with the contract being
awarded on 17th May, commencement of
onshore installation works on 29th May
and offshore installation works on 7th July.
So to have completed one month ahead
of schedule is something the team is very
proud of.
“We were given a very short period to
complete engineering and planning. The
installation of a thin wall, rigid pipeline
susceptible to buckling together with poor
weather conditions, plus working with a
competitive budget; were among the
challenging obstacles we faced. But the
dedicated and focused project team
overcame these challenges with great
success.
“We achieved this while maintaining a
high standard of safety and quality – with
no loss time injuries on the project and a
high audit score from Lloyds Register for
the environment audit with no non-
conformances. We also gave something
back to the local community through an
environmental awareness campaign with
a local community centre for disabled
kids. We planted fruit trees at the centre
and sponsored eight local athletes to take
part in the next Malaysian Paralympics
Games in Perak, Malaysia.”
The team delivered the project on-time
and well below budget, whilst efficiently
delivering Stealth for the next offshore
project, Devil Creek Development Project
in Australia on schedule. �
PADANG BESAR
THAILAND
MALAYSIA
ARAU
ALOR SETAR
BUKIT MERTAJAM
SUNGAI PETANI
KAMUNTING
KUALA KANGSAR
IPOH
BUTTERWORTH
16 17COMPANY NEWS
THE GOVERNMENT OF MALAYSIA HAS EMBARKED ON A RAILWAY INFRASTRUCTURE
DEVELOPMENT PROJECT TO UPGRADE THE EXISTING SINGLE TRACK INTO
ELECTRIFIED DOUBLE TRACK RAILWAY IN BETWEEN IPOH AND THE BORDER TOWN
OF PADANG BESAR. LEIGHTON PROJECT DIRECTOR, CORMAC BRADY,
GIVES US A PROGRESS UPDATE.
ON TRACK TO DELIVER
Leighton Malaysia, in partnership with
Emrail, was awarded the Government
rail contract to construct 753 kilometers
of track works late last year. The
upgrade to a modern electrified double
track network will allow for an increased
line speed to 140 kilometers per hour
and a rise in both passenger and freight
capacities.
At the peak of construction, the total
workforce will be over 500 personnel
with the majority sourced from Malaysia,
India, Thailand, Philippines and
Bangladesh.
As with any track construction,
safety of existing passenger services
is a priority. All employees undergo a
one and half day course on line side
safety awareness training conducted
by KTMB (Malaysian Railways) as well
as various project site inductions. Strict
compliance to operating procedures for
access to the existing network has been
implemented for the project.
The works conducted to date have
been associated with site establishment,
construction of workshop and flashbutt
depot yards at Taiping and Jarak, as
well as site offices at Bukit Mertajam,
Taiping and Sungai Petani. The flashbutt
depot facilities are required to weld
88,000 tonnes of UIC 54 rail, received
from the client in 25 meter lengths, into
150 meter long strings for subsequent
transport via the existing rail network to
the various work locations. Production
of flashbutt welding is undertaken both
within fixed depots and on track with
equipment originally manufactured
in Austria, Italy and USA. Production
welding commenced on 6th September
2010 with approximately 10 kilometers
of tracks welded as off 24th September.
Construction of temporary track
work diversions has also commenced
which facilitates access for the staged
construction of earthworks. Even the
quantity of temporary track construction
at 70 kilometers is significant with
approximately 14 kilometers completed
to date.
In addition to the 88,000 tonnes
of rail, the client is also supplying
approximately three million tonnes of
ballast and 1.2 million concrete sleepers.
Emrail/Leighton at its peak production
is planning to construct over 40
kilometers of track per month utilising
an impressive fleet of track equipment
comprising nine Plasser tamping
machines, nine ballast regulators, four
flashbutt welding machines, rail steel
delivery trains capable of carrying 150
meters long welded rail strings and
ballast delivery trains consisting of 40
ballast wagons.
The anticipated completion date
for the track works component of the
project is the first quarter of 2013.
Establishment of such array of
specialist track construction equipment
together with a highly skilled and mobile
workforce will allow Emrail and Leighton
International to take full advantage of
the planned rail expansion in South
East Asia region. �
LABUAN PIPELINE PROJECT COMPLETED AHEAD OF SCHEDULE
The Government of Malaysia is
undertaking the development of a Water
Pipeline in Labuan, East Malaysia, to
mitigate the acute water shortage on
the island. In collaboration with Leighton
Offshore and in Joint Venture with
Kencana HL, Leighton Malaysia
delivered the following:
The delivery of existing 26 inch
pipeline – 22740 meters including the
supply of additional 600 meters of
new pipes by Kencana.
Pre-installation pipelay analysis
Install and pre-commission
approximately 22.8km of submarine
pipeline in max water depths of 22m.
Post trench approximately 1.8km at
three locations along the route
Interface with existing mudflats
contractor including undertaking a
midpoint tie-in.
A key challenge to the installation of the
pipeline was the constraints that the
physical characteristics of the free issued
pipeline poses in terms of its stiffness,
due to the relatively thick reinforced
concrete weight coating and its relatively
thin wall thickness.
The challenges that this poses include
the ability to install this pipeline using a
pipe lay barge that has sufficient track
A FEATHER IN THE CAP FOR LEIGHTON MALAYSIA AND LEIGHTON OFFSHORE AS THE
LABUAN WATER PIPELINE PROJECT IS COMPLETED A MONTH AHEAD OF SCHEDULE.
PROJECT UPDATES
tensioner capacity, and undertaking detail
stress analysis using finite element
methods to identify and reduce bending
stresses during installation. Leighton
Stealth was used to install the pipeline
using the S-Lay method.
Leighton completed the project on
the 10th September, over a month ahead
of schedule.
Project Manager, Edgar Ramani, said
“It was a demanding project set against a
very tight timeline with the contract being
awarded on 17th May, commencement of
onshore installation works on 29th May
and offshore installation works on 7th July.
So to have completed one month ahead
of schedule is something the team is very
proud of.
“We were given a very short period to
complete engineering and planning. The
installation of a thin wall, rigid pipeline
susceptible to buckling together with poor
weather conditions, plus working with a
competitive budget; were among the
challenging obstacles we faced. But the
dedicated and focused project team
overcame these challenges with great
success.
“We achieved this while maintaining a
high standard of safety and quality – with
no loss time injuries on the project and a
high audit score from Lloyds Register for
the environment audit with no non-
conformances. We also gave something
back to the local community through an
environmental awareness campaign with
a local community centre for disabled
kids. We planted fruit trees at the centre
and sponsored eight local athletes to take
part in the next Malaysian Paralympics
Games in Perak, Malaysia.”
The team delivered the project on-time
and well below budget, whilst efficiently
delivering Stealth for the next offshore
project, Devil Creek Development Project
in Australia on schedule. �
PADANG BESAR
THAILAND
MALAYSIA
ARAU
ALOR SETAR
BUKIT MERTAJAM
SUNGAI PETANI
KAMUNTING
KUALA KANGSAR
IPOH
BUTTERWORTH
18 19
MAXIMISING OFFSHORE OPPORTUNITIES IN THE GULF
The contract forms part of the Iraq
Crude Oil Export Expansion Project
(ICOEEP) which is developing offshore
loading facilities to enable export
capability of 4.5 million barrels of oil
per day.
The project scope includes:
Installation and commissioning of two
48-inch parallel pipelines, 10 kilometres
onshore and 40 kilometres offshore,
linking the new Fao onshore terminal to
the new SPMs, plus approximately 20
kilometres of infield pipelines, and the
shore crossing for a third pipeline to be
installed during future expansions (a
total of over 120 kilometres of pipeline).
Installation of SPMs complete with
subsea pipeline end manifolds (PLEMs)
capable of receiving and loading Very
Large Crude Carrier (VLCC) tankers.
Fabrication and installation of a 600MT
subsea valve manifold for directing flow
between the existing and future
offshore export facilities.
Dredging works to achieve pipeline
burial and to achieve sufficient water
depth for VLCCs mooring to the SPMs.
Construction and commissioning
(including civil, mechanical and
electrical works) for the new onshore
metering and manifold facilities at
Fao terminal.
Leighton Holdings Chief Operating
Officer, David Savage, said “This project
is a fantastic opportunity for Leighton,
and coming closely behind the recent
SPM project win in Tanzania, provides
strong recognition of Leighton’s strength
and experience in SPM installations.
“In recent years, Leighton has built an
enviable track record on SPM’s and large
diameter pipelines, having worked on
some 13 SPM’s around the Asia region.
LEIGHTON OFFSHORE SIGNED AN EPC CONTRACT WORTH US$733 MILLION
WITH IRAQ’S SOUTH OIL COMPANY – A VITAL PROJECT IN IRAQ’S STRATEGIC ENERGY
REDEVELOPMENT PROGRAM.
NEW PROJECTS
“Being awarded the Middle East’s largest
and most prominent SPM contract is a
great honour for us and great reflection
of the strength of our capabilities,”
Savage said.
Leighton Offshore will use its vessels,
Eclipse, Stealth and Mynx on the project.
Eclipse, Stealth and Mynx are ideally
suited for working on SPM projects, and
provided Leighton a key edge in securing
this work. Leighton operates a very young
fleet of state of the art vessels, all of
which are fully compliant to latest
class and safety standards including
International Special Purpose Shipping
code.
“In the Middle East we have the benefit
of tapping into Al Habtoor Leighton” said
Savage. “Al Habtoor Leighton has an
agreement with Leighton Offshore to
provide support with logistics and
resource services for offshore projects in
the MENA region and has played a
positive role in securing this project.
“This is the first major offshore project for Leighton in the Middle East, but with the opportunities in the Gulf and the MENA region, we are very confident it will be the start of a strong business line that will provide a steady revenue volume for both Leighton Offshore and Al Habtoor Leighton.”
“This is the first major offshore project
for Leighton in the Middle East,” Savage
said, “but with the opportunities in the
Gulf and the MENA region, we are very
confident it will be the start of a strong
business line that will provide a steady
revenue volume for both Leighton
Offshore and Al Habtoor Leighton. �
COMPANY NEWS
LEIGHTON OFFSHORE HAS BEEN AWARDED A US$66M CONTRACT BY THE TANZANIA
PORTS AUTHORITY TO INSTALL A SINGLE POINT MOORING AND PIPELINES IN
RAS MJIMWEMA, DAR ES SALAAM, TANZANIA.
AFRICAN WIN FOR LEIGHTON OFFSHORE
Leighton Offshore has received the
Letter of Intent from Tanzania Ports
Authority for the removal of the existing
Single Point Mooring (SPM) buoy and
the related pipeline system at Ras
Mjimwema, outside the Port of Dar Es
Salaam, and replacement of the existing
facility with a new dual-line multi product
facility for the transfer of crude oil and
white products.
Leighton will undertake the residual
and installation engineering, supply,
installation, testing, pre-commissioning
and completion of a 24 inch pipeline
and a 28 inch pipeline (both 3.6
kilometers offshore and 4.4 kilometers
onshore) and the design, supply,
installation, testing, pre-commissioning
and completion of the associated dual
Pipeline End Manifold (PLEM) and SPM
system. Leighton will also be responsible
for the removal and/or abandonment of
the existing facility.
Leighton Holdings Chief Operating
Officer, David Savage, said the award of
the project built on Leighton Offshore’s
strong track record in the installation of
SPM’s and confirmed their position as
the leading company in the region in
SPM work.
“We are very pleased to be awarded
this project in Africa, which is an exciting
market for Leighton International and
where we are exploring a range of
opportunities onshore and offshore”
he said.
The project team are currently
mobilising to the Kuala Lumpur office
where procurement and engineering will
be undertaken until the team transfer
to Tanzania in June 2011. Key start-up
activities for the team include securing
the SPM Vendor and Line Pipe Vendor
and undertaking geophysical and
geotechnical investigations along the
pipeline route corridor and proposed
SPM location.
The recently upgraded Leighton Mynx
work barge will be used to pull the
pipeline and install the PLEM and SPM
buoy in Tanzania during the second half
of 2011. �
PROJECT: ENGINEERING, PROCUREMENT & CONSTRUCTION OF SINGLE POINT MOORING AND PIPELINE SYSTEM
LOCATION: RAS MJIMWEMA, DAR ES SALAM, TANZANIA
CLIENT: TANZANIA PORTS AUTHORITY
CONTRACT VALUE: USD66 MILLION
COMMENCEMENT: SEPTEMBER 2010
COMPLETION: MARCH 2012
LOCATION: FAO TERMINAL, AL BASRAH, SOUTHERN IRAQ
CLIENT: SOUTH OIL COMPANY, IRAQ
CONTRACT TYPE: EPC LUMP SUM
CONTRACT VALUE: USD733 MILLION
COMMENCEMENT: EARLY 2011
COMPLETION: END OF 2012
“The award of the project built on Leighton Offshore’s strong track record in the installation of SPM’s. We are very pleased to be awarded this project in Africa, which is an exciting market for Leighton International and where we are exploring a range of opportunities onshore and offshore.”
18 19
MAXIMISING OFFSHORE OPPORTUNITIES IN THE GULF
The contract forms part of the Iraq
Crude Oil Export Expansion Project
(ICOEEP) which is developing offshore
loading facilities to enable export
capability of 4.5 million barrels of oil
per day.
The project scope includes:
Installation and commissioning of two
48-inch parallel pipelines, 10 kilometres
onshore and 40 kilometres offshore,
linking the new Fao onshore terminal to
the new SPMs, plus approximately 20
kilometres of infield pipelines, and the
shore crossing for a third pipeline to be
installed during future expansions (a
total of over 120 kilometres of pipeline).
Installation of SPMs complete with
subsea pipeline end manifolds (PLEMs)
capable of receiving and loading Very
Large Crude Carrier (VLCC) tankers.
Fabrication and installation of a 600MT
subsea valve manifold for directing flow
between the existing and future
offshore export facilities.
Dredging works to achieve pipeline
burial and to achieve sufficient water
depth for VLCCs mooring to the SPMs.
Construction and commissioning
(including civil, mechanical and
electrical works) for the new onshore
metering and manifold facilities at
Fao terminal.
Leighton Holdings Chief Operating
Officer, David Savage, said “This project
is a fantastic opportunity for Leighton,
and coming closely behind the recent
SPM project win in Tanzania, provides
strong recognition of Leighton’s strength
and experience in SPM installations.
“In recent years, Leighton has built an
enviable track record on SPM’s and large
diameter pipelines, having worked on
some 13 SPM’s around the Asia region.
LEIGHTON OFFSHORE SIGNED AN EPC CONTRACT WORTH US$733 MILLION
WITH IRAQ’S SOUTH OIL COMPANY – A VITAL PROJECT IN IRAQ’S STRATEGIC ENERGY
REDEVELOPMENT PROGRAM.
NEW PROJECTS
“Being awarded the Middle East’s largest
and most prominent SPM contract is a
great honour for us and great reflection
of the strength of our capabilities,”
Savage said.
Leighton Offshore will use its vessels,
Eclipse, Stealth and Mynx on the project.
Eclipse, Stealth and Mynx are ideally
suited for working on SPM projects, and
provided Leighton a key edge in securing
this work. Leighton operates a very young
fleet of state of the art vessels, all of
which are fully compliant to latest
class and safety standards including
International Special Purpose Shipping
code.
“In the Middle East we have the benefit
of tapping into Al Habtoor Leighton” said
Savage. “Al Habtoor Leighton has an
agreement with Leighton Offshore to
provide support with logistics and
resource services for offshore projects in
the MENA region and has played a
positive role in securing this project.
“This is the first major offshore project for Leighton in the Middle East, but with the opportunities in the Gulf and the MENA region, we are very confident it will be the start of a strong business line that will provide a steady revenue volume for both Leighton Offshore and Al Habtoor Leighton.”
“This is the first major offshore project
for Leighton in the Middle East,” Savage
said, “but with the opportunities in the
Gulf and the MENA region, we are very
confident it will be the start of a strong
business line that will provide a steady
revenue volume for both Leighton
Offshore and Al Habtoor Leighton. �
COMPANY NEWS
LEIGHTON OFFSHORE HAS BEEN AWARDED A US$66M CONTRACT BY THE TANZANIA
PORTS AUTHORITY TO INSTALL A SINGLE POINT MOORING AND PIPELINES IN
RAS MJIMWEMA, DAR ES SALAAM, TANZANIA.
AFRICAN WIN FOR LEIGHTON OFFSHORE
Leighton Offshore has received the
Letter of Intent from Tanzania Ports
Authority for the removal of the existing
Single Point Mooring (SPM) buoy and
the related pipeline system at Ras
Mjimwema, outside the Port of Dar Es
Salaam, and replacement of the existing
facility with a new dual-line multi product
facility for the transfer of crude oil and
white products.
Leighton will undertake the residual
and installation engineering, supply,
installation, testing, pre-commissioning
and completion of a 24 inch pipeline
and a 28 inch pipeline (both 3.6
kilometers offshore and 4.4 kilometers
onshore) and the design, supply,
installation, testing, pre-commissioning
and completion of the associated dual
Pipeline End Manifold (PLEM) and SPM
system. Leighton will also be responsible
for the removal and/or abandonment of
the existing facility.
Leighton Holdings Chief Operating
Officer, David Savage, said the award of
the project built on Leighton Offshore’s
strong track record in the installation of
SPM’s and confirmed their position as
the leading company in the region in
SPM work.
“We are very pleased to be awarded
this project in Africa, which is an exciting
market for Leighton International and
where we are exploring a range of
opportunities onshore and offshore”
he said.
The project team are currently
mobilising to the Kuala Lumpur office
where procurement and engineering will
be undertaken until the team transfer
to Tanzania in June 2011. Key start-up
activities for the team include securing
the SPM Vendor and Line Pipe Vendor
and undertaking geophysical and
geotechnical investigations along the
pipeline route corridor and proposed
SPM location.
The recently upgraded Leighton Mynx
work barge will be used to pull the
pipeline and install the PLEM and SPM
buoy in Tanzania during the second half
of 2011. �
PROJECT: ENGINEERING, PROCUREMENT & CONSTRUCTION OF SINGLE POINT MOORING AND PIPELINE SYSTEM
LOCATION: RAS MJIMWEMA, DAR ES SALAM, TANZANIA
CLIENT: TANZANIA PORTS AUTHORITY
CONTRACT VALUE: USD66 MILLION
COMMENCEMENT: SEPTEMBER 2010
COMPLETION: MARCH 2012
LOCATION: FAO TERMINAL, AL BASRAH, SOUTHERN IRAQ
CLIENT: SOUTH OIL COMPANY, IRAQ
CONTRACT TYPE: EPC LUMP SUM
CONTRACT VALUE: USD733 MILLION
COMMENCEMENT: EARLY 2011
COMPLETION: END OF 2012
“The award of the project built on Leighton Offshore’s strong track record in the installation of SPM’s. We are very pleased to be awarded this project in Africa, which is an exciting market for Leighton International and where we are exploring a range of opportunities onshore and offshore.”
20 21COMPANY NEWS
This year’s Health, Safety, Environment &
Community (HSEC) award was won by
the Leighton India, Oil and Gas, Pipeline
Replacement Project 2 (PRP 2) project
for the second consecutive year. And a
first for the annual award, a runner up
category was created with the Vizag
Hindustan Petroleum Corp SPM project
(HPCL) winning.
There were four projects nominated
for the award, as follows:
HPCL SPM (Leighton India, Oil
and Gas)
Ramanujan IT Park (Leighton India,
Engineering and Construction)
Shuqaiq Pipeline (Leighton Malaysia)
Each project was assessed on the
following criteria with each criteria
allocated a percentage of marks:
Health and safety audit – 30%
Environmental audit – 20%
Total recordable injury
frequency rate – 20%
Community development – 10%
Customer feedback – 10%
Innovations (Project Manager’s
presentation) – 10%
TOP HSEC PERFORMANCE RECOGNISED
The winner, PRP 2, finished with an
overall score of 82.08% and the runner
up, HPCL, came in with 76.82%. The
runner up score was slightly better
than the award winner’s score two
years ago, which demonstrates an
overall improvement of the quality of
the nominees and in general the HSEC
performance within the group.
The PRP 2 project was a clear
winner excelling in most areas, with the
second place being closely fought out
amongst the other three nominees. PRP
2 demonstrated superior leadership,
excellent compliance with the
company’s HSE management systems,
with strong support and participation of
the workforce and subcontractors.
Senthil Kumar Karmegam, Senior
Project Manager of PRP 2 said “It is
a great honour and a great moment
to accept the award twice. The award
proves the project team’s commitment
towards meeting all its targets and
complying with the company’s
expectations. We will definitely be
working hard to win it again next year.”
Tom Ord, Group Manager Health,
Safety and Environment, said “The
PRP 2 project successfully built on its
previous performance to produce an
even better result this year. Particularly
impressive was the strong participative
safety culture displayed by the whole
workforce.
“The HPCL SPM project
differentiated itself from the other
two competitors with its excellent
community development program,
themed at improving the environment,
at two local schools.” �
THE WINNERS OF THE 2010 LEIGHTON INTERNATIONAL
HSEC AWARD WERE ANNOUNCED IN SEPTEMBER
WITH TWO INDIAN OIL AND GAS PROJECTS WINNING
THE AWARD.
WINNER: PRP 2
By Zafar Khan, HSE Manager,
Leighton India, Offshore Oil & Gas
The story of PRP 2 begins with 17
people from different companies and ten
different nationalities in an office. The
marine spread was huge comprising 40
vessels with eight major mother vessels
in a very congested ONGC field.
The topside modification in the ONGC
process is an extremely risky job due to
interface with at least four barges and
contractors on the same platform. The
weather condition were also challenging
including the cyclone we faced.
With the leadership of Senthil Kumar
Karmegam, Senior Project Manager,
an action plan was implemented that
includes continuous on-the-job HSE
training with regular audits; identifying
HSE risks and micro planned solutions;
developing the cohesiveness among
the crew who belong to different
nationalities and cultures and
recognising good safe practises by the
crew through awards and appreciation.
The team was equally dedicated
to help the local community through
various programmes. Here are some
examples:
with the Maharashtra State Blood
Transfusion Council, a record
collection of 178 units of blood was
achieved on day one. Over 200
people participated, both Leighton
staff and the client, ONGC.
primary schools
the PRP 2 team felt inspired to help.
We donated clothes, stationery and
utensils.
of Mumbai who provides a platform
for their pupils to live independently
through education.
RUNNER UP: HPCL SPM PROJECT
By Deepak HN - HSE Manager,
Leighton India, Offshore Oil & Gas
The HPCL project team has shown
a strong commitment and a systematic
approach to HSE challenges from
the start to finish of the project. This
involved a number of critical offshore
and onshore activities at the project, in
parallel with a peak crew operating more
than 500 people at once and marine
spread of more than 10 vessels.
The project was completed with
no loss time injuries. Through good
planning from the project initial stage,
the risks across the whole project were
identified and controlled before it could
occur. The team worked systematically
with subcontractors and suppliers to
involve them in their HSE efforts.
The team also showed great social
responsibility towards the local
community. They organised programs
to promote long term education for
the local children and helped raise
awareness on the environment through
plays, awards presentation and planting
of trees. We also donated computers
to the local schools. This was highly
appreciated by the local community.
20 21COMPANY NEWS
This year’s Health, Safety, Environment &
Community (HSEC) award was won by
the Leighton India, Oil and Gas, Pipeline
Replacement Project 2 (PRP 2) project
for the second consecutive year. And a
first for the annual award, a runner up
category was created with the Vizag
Hindustan Petroleum Corp SPM project
(HPCL) winning.
There were four projects nominated
for the award, as follows:
HPCL SPM (Leighton India, Oil
and Gas)
Ramanujan IT Park (Leighton India,
Engineering and Construction)
Shuqaiq Pipeline (Leighton Malaysia)
Each project was assessed on the
following criteria with each criteria
allocated a percentage of marks:
Health and safety audit – 30%
Environmental audit – 20%
Total recordable injury
frequency rate – 20%
Community development – 10%
Customer feedback – 10%
Innovations (Project Manager’s
presentation) – 10%
TOP HSEC PERFORMANCE RECOGNISED
The winner, PRP 2, finished with an
overall score of 82.08% and the runner
up, HPCL, came in with 76.82%. The
runner up score was slightly better
than the award winner’s score two
years ago, which demonstrates an
overall improvement of the quality of
the nominees and in general the HSEC
performance within the group.
The PRP 2 project was a clear
winner excelling in most areas, with the
second place being closely fought out
amongst the other three nominees. PRP
2 demonstrated superior leadership,
excellent compliance with the
company’s HSE management systems,
with strong support and participation of
the workforce and subcontractors.
Senthil Kumar Karmegam, Senior
Project Manager of PRP 2 said “It is
a great honour and a great moment
to accept the award twice. The award
proves the project team’s commitment
towards meeting all its targets and
complying with the company’s
expectations. We will definitely be
working hard to win it again next year.”
Tom Ord, Group Manager Health,
Safety and Environment, said “The
PRP 2 project successfully built on its
previous performance to produce an
even better result this year. Particularly
impressive was the strong participative
safety culture displayed by the whole
workforce.
“The HPCL SPM project
differentiated itself from the other
two competitors with its excellent
community development program,
themed at improving the environment,
at two local schools.” �
THE WINNERS OF THE 2010 LEIGHTON INTERNATIONAL
HSEC AWARD WERE ANNOUNCED IN SEPTEMBER
WITH TWO INDIAN OIL AND GAS PROJECTS WINNING
THE AWARD.
WINNER: PRP 2
By Zafar Khan, HSE Manager,
Leighton India, Offshore Oil & Gas
The story of PRP 2 begins with 17
people from different companies and ten
different nationalities in an office. The
marine spread was huge comprising 40
vessels with eight major mother vessels
in a very congested ONGC field.
The topside modification in the ONGC
process is an extremely risky job due to
interface with at least four barges and
contractors on the same platform. The
weather condition were also challenging
including the cyclone we faced.
With the leadership of Senthil Kumar
Karmegam, Senior Project Manager,
an action plan was implemented that
includes continuous on-the-job HSE
training with regular audits; identifying
HSE risks and micro planned solutions;
developing the cohesiveness among
the crew who belong to different
nationalities and cultures and
recognising good safe practises by the
crew through awards and appreciation.
The team was equally dedicated
to help the local community through
various programmes. Here are some
examples:
with the Maharashtra State Blood
Transfusion Council, a record
collection of 178 units of blood was
achieved on day one. Over 200
people participated, both Leighton
staff and the client, ONGC.
primary schools
the PRP 2 team felt inspired to help.
We donated clothes, stationery and
utensils.
of Mumbai who provides a platform
for their pupils to live independently
through education.
RUNNER UP: HPCL SPM PROJECT
By Deepak HN - HSE Manager,
Leighton India, Offshore Oil & Gas
The HPCL project team has shown
a strong commitment and a systematic
approach to HSE challenges from
the start to finish of the project. This
involved a number of critical offshore
and onshore activities at the project, in
parallel with a peak crew operating more
than 500 people at once and marine
spread of more than 10 vessels.
The project was completed with
no loss time injuries. Through good
planning from the project initial stage,
the risks across the whole project were
identified and controlled before it could
occur. The team worked systematically
with subcontractors and suppliers to
involve them in their HSE efforts.
The team also showed great social
responsibility towards the local
community. They organised programs
to promote long term education for
the local children and helped raise
awareness on the environment through
plays, awards presentation and planting
of trees. We also donated computers
to the local schools. This was highly
appreciated by the local community.
22 23
“David’s appointment is about getting
the span of control right for the business
as we continue to grow and brings
more focus to India and the oil and
gas business, both of which have the
potential to grow into very significant
markets for Leighton. I congratulate
David on his appointment.
“The outlook for the Group remains
positive based on a record level of work
in hand, a strong competitive position
and continuing economic recovery in our
major markets,” said King.
“Demand for iron ore, coal, and oil
and gas will increase and should remain
strong as China and India urbanise and
industrialise, and maintain their solid
economic growth.
PROJECT UPDATECOMPANY NEWS
LEIGHTON ANNOUNCES
RECORD PROFIT OF $612M
AND WORK IN HAND
OF $41.5BN
QUARTERLY RESULTS Leighton Holdings
Limited announced a
39% increase in profit
after tax and minorities
to $612m ($440m last
year) and a pre-tax
profit of $843m for the
2010 financial year. The return on
shareholders’ funds averaged 25% for
the year with a record net operating
cash flow of $1.7 billion.
Leighton Holdings’ Chief Executive,
Wal King (pictured), reported that he
was very pleased to report such a
strong profit result which was based on
a solid contribution from Australia, driven
by transport infrastructure, contract
mining, telecommunications and
operations and maintenance, helping to
offset a poor year in property markets.
“Our offshore markets, with the
exception of the Middle East, also
made solid contributions to the result.
Highlights included infrastructure
construction in Hong Kong and India,
the contract mining of coal in Indonesia
and Mongolia, and offshore oil and gas
services,” said King.
“Total revenue, including joint ventures
and associates, was up 2% to $18.6bn
versus $18.3bn last year. The revenue
generating markets for the Group were
infrastructure $10.4bn, resources
$6.4bn and property and building
construction $1.8bn,” he said.
“The Group’s work in hand at 30
June 2010 was 12% higher than last
year reaching a new record high level
of $41.5bn, with 65% from Australia
and 35% from offshore markets. The
order book was boosted by the award
of some $23.5bn worth of new work,
extensions and variations during
the period.
“Since the 30th June 2010, the Group
has been awarded an additional
$1.5bn worth of new contracts and we
have approximately $8bn of contracts
which we are in a preferred or single
negotiation position that are expected
to be converted by the end of the
calendar year.
“I’m also pleased to advise that David
Savage has been appointed as an
additional Chief Operating Officer with
responsibility for Leighton International
Limited, a wholly owned subsidiary of
Leighton Holdings Limited. David was
formerly Managing Director of Leighton
International and has worked across
Asia with the Leighton Group for 12
years,” said King.
“We remain positive for the 2011
financial year and expect to report
an increased revenue and operating
profit. Over the longer-term, based on
our projections, the Group’s five-year
aspirational goals of $50bn of work in
hand, $30bn of revenue and $900m of
profit after tax can be achieved through
internally generated funds.” said King. �
“...David Savage has been appointed as an additional Chief Operating Officer with responsibility for Leighton International …David’s appointment is about getting the span of control right for the business as we continue to grow and brings more focus to India and the oil and gas business, both of which have the potential to grow into very significant markets for Leighton...”
Leighton Stealth
Labuan skyline
22 23
“David’s appointment is about getting
the span of control right for the business
as we continue to grow and brings
more focus to India and the oil and
gas business, both of which have the
potential to grow into very significant
markets for Leighton. I congratulate
David on his appointment.
“The outlook for the Group remains
positive based on a record level of work
in hand, a strong competitive position
and continuing economic recovery in our
major markets,” said King.
“Demand for iron ore, coal, and oil
and gas will increase and should remain
strong as China and India urbanise and
industrialise, and maintain their solid
economic growth.
PROJECT UPDATECOMPANY NEWS
LEIGHTON ANNOUNCES
RECORD PROFIT OF $612M
AND WORK IN HAND
OF $41.5BN
QUARTERLY RESULTS Leighton Holdings
Limited announced a
39% increase in profit
after tax and minorities
to $612m ($440m last
year) and a pre-tax
profit of $843m for the
2010 financial year. The return on
shareholders’ funds averaged 25% for
the year with a record net operating
cash flow of $1.7 billion.
Leighton Holdings’ Chief Executive,
Wal King (pictured), reported that he
was very pleased to report such a
strong profit result which was based on
a solid contribution from Australia, driven
by transport infrastructure, contract
mining, telecommunications and
operations and maintenance, helping to
offset a poor year in property markets.
“Our offshore markets, with the
exception of the Middle East, also
made solid contributions to the result.
Highlights included infrastructure
construction in Hong Kong and India,
the contract mining of coal in Indonesia
and Mongolia, and offshore oil and gas
services,” said King.
“Total revenue, including joint ventures
and associates, was up 2% to $18.6bn
versus $18.3bn last year. The revenue
generating markets for the Group were
infrastructure $10.4bn, resources
$6.4bn and property and building
construction $1.8bn,” he said.
“The Group’s work in hand at 30
June 2010 was 12% higher than last
year reaching a new record high level
of $41.5bn, with 65% from Australia
and 35% from offshore markets. The
order book was boosted by the award
of some $23.5bn worth of new work,
extensions and variations during
the period.
“Since the 30th June 2010, the Group
has been awarded an additional
$1.5bn worth of new contracts and we
have approximately $8bn of contracts
which we are in a preferred or single
negotiation position that are expected
to be converted by the end of the
calendar year.
“I’m also pleased to advise that David
Savage has been appointed as an
additional Chief Operating Officer with
responsibility for Leighton International
Limited, a wholly owned subsidiary of
Leighton Holdings Limited. David was
formerly Managing Director of Leighton
International and has worked across
Asia with the Leighton Group for 12
years,” said King.
“We remain positive for the 2011
financial year and expect to report
an increased revenue and operating
profit. Over the longer-term, based on
our projections, the Group’s five-year
aspirational goals of $50bn of work in
hand, $30bn of revenue and $900m of
profit after tax can be achieved through
internally generated funds.” said King. �
“...David Savage has been appointed as an additional Chief Operating Officer with responsibility for Leighton International …David’s appointment is about getting the span of control right for the business as we continue to grow and brings more focus to India and the oil and gas business, both of which have the potential to grow into very significant markets for Leighton...”
Leighton Stealth
Labuan skyline
24
HEAD OFFICE
Leighton International13/F Menara Multi-Purpose8 Jalan Munshi Abdullah50100 Kuala LumpurMalaysiat: +60 3 2035 1688f: +60 3 2693 4388
MALAYSIA
Leighton Contractors (Malaysia) Sdn Bhd14/F Menara Multi-Purpose8 Jalan Munshi Abdullah50100 Kuala LumpurMalaysiat: +60 3 2035 1788f: +60 3 2693 5388
SINGAPORE Leighton Offshore137 Telok Ayer Street#05-04Singapore 068602t: +65 6327 1978f: +65 6327 1969
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SRI LANKA
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INDIA
Leighton Contractors (India) Pvt Ltd302 - 303, 3/F Windsor BuildingCST Road, Vidyanagari MargKalina, Santacruz (East)Mumbai 400 098Indiat: +91 22 6719 0000f: +91 22 6719 0199
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LEIGHTON INTERNATIONAL