SBM Offshore has taken another step to strengthen its Fast4Ward program by signing a Memorandum of Agreement (MOA) with COSCO Shipping Heavy Industry for the construction of a new standardized FPSO hull. The agreement marks an expansion of SBM Offshore’s long-term collaboration network in China, adding COSCO to its existing partnerships with Shanghai Waigaoqiao Shipbuilding (SWS) and China Merchants Heavy Industry (CMHI).
The new hull will be built under SBM Offshore’s Fast4Ward® design concept, which standardizes FPSO hulls to accelerate project delivery schedules and lower construction costs. The MOA is expected to transition into a full shipbuilding contract shortly after the Chinese New Year in 2026, according to company sources familiar with the process.
SBM Offshore currently has two unallocated Fast4Ward hulls under construction, which have not yet been assigned to specific FPSO projects. The addition of another hull underscores the company’s strong project pipeline and its expectation of further FPSO contract awards in the near future.
Following the announcement, SBM Offshore’s shares rose around 2% on the Amsterdam stock exchange, reflecting investor confidence in the company’s long-term growth prospects and continued demand for floating production systems.
The Fast4Ward® initiative, first introduced by SBM Offshore in 2016 with the first hull order placed in 2017, has become a key component of the company’s strategy to improve the efficiency and predictability of FPSO development. By ordering standardized hulls ahead of specific project awards, SBM Offshore maintains a rolling inventory that allows it to accelerate project delivery once new FPSO contracts are signed, while aiming to reduce overall costs and schedule risks in an increasingly competitive offshore market.
