April 2011 eppel www.kepcorp.com/ekeppelite

Keppel Group Newsletter Keppelite

A solid start 4

Star delivery 20

Celebrating partnerships 31

Sustainable living takes root

MICA (P) 072/01/2011 16 40

32

Contents

SUSTAINING GROWTH Solid start for 2011 4 Distinctively Keppel 30

Focused on sustainable growth 6 Celebrating partnerships 31

Positioning for the future 8 Our cup of tea in Chengdu 32

Growth amidst volatility 10 Solid showcase 34

Data centres boost profits 11 Garden for retail therapy K-Green Trust makes steady progress Bay full of attractions 35

Keppel Land’s 1Q net profit soars 45.5% 12 EMPOWERING LIVES Developing mentors 36 Keppel T&T realigns China portfolio 14 Sea-bound Singaporeans 37 Marine contracts worth $240m secured 15 Keppelites Abroad SEAFOX 5 secures first wind farm charter 16 Wasting no opportunities 38

N-KOM drydocks its first LNG vessel 17 NURTURING COMMUNITIES Bonding kakis young & old 39 Maritime Week in full steam 18 Shanghai surprise Star delivery 20 Rallying for Mother Earth 40 Excellent execution 21 Relaying hope 42 Special Focus Painting smiles Breaking more grounds in Tianjin Eco-City 22 Keppel Volunteers Renewing ties with Sichuan 27 Holiday makeover 43 Taking a NEW look BACK PAGE Pioneering green data centres 28 Jasper orders second US$180m jackup 44

Keppel T&T welcomes SGX 29 Green logistics

Cover image: (From right) Mr Teo Soon Hoe, Senior Executive Director and Group Finance Director of Keppel Corporation, Dr Lee Boon Yang, and Senior Minister Goh Chok Tong, viewing the Seasons City model at the groundbreaking ceremony in Tianjin Eco-City eppel

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

Editorial Advisor Wang Look Fung

Editor Ivana Chua

Editorial Committee Ang Lai Lee, Casiopia Low, Catherine Tan, Chan Suan Sim, Cheryl Tang, Christie Lai, Chua Ying Ying, Diana Chan, Donald Sng, Eileen Tan, Elena Ong, Elizabeth Widjaja, Eva Ho, Frances Teh, Grace Chia, Leanne Sim, Lee Wan Jun, Lim Kah Ai, Lynette Goh, Maria Magdalena, Mohamed Yusof Mohamed, Ong Tze Haung, Roy Tan, Say Huan Yuan, Serena Toh, Teri Liew, Wong Chai Yueh, Woon Pek Yong, Vett Ramos, Yolanda Guo

Keppelite I April 2011 CO REG NO: 196800351N Editorial

The challenge of success

2010 has seen yet another record performance To optimise the Group’s inherent synergy and from the Keppel Group. Amidst an uneven global leverage our collective strength, we will continue recovery as well as unexpected disruptions in our to build and grow our sustainable development chosen industries, this significant achievement was business to offer holistic solutions for sustainable only possible with the Group’s unceasing focus on urban living. This will position us well to seize excellence and innovation. opportunities in developing countries as they urbanise. The sterling set of results caps a decade in which the Group chalked up a compound annual growth Tapping on our deep pool of experience and rate of more than 20%, with net profit growing expertise in the Group’s chosen industries, we will from $267 million in 2001 to $1.42 billion in 2010. identify adjacent businesses where we can grow The Group has also just reported a 7.8% growth and integrate along the value chain to further in net profit of $346 million in the first quarter enhance our competitive offerings. of 2011. Underpinning these thrusts would be our people, As the Group moves into a new decade, our track which are our core asset to drive the Group’s record will both inspire and challenge Keppelites. business into the next decade. With the Group’s How do we continue to create and deliver value operations spanning more than 30 countries, to our stakeholders? How do we position the Keppelites will need not only technical knowledge Group for sustained growth? Can we achieve and a keen nose for business, but also a good grasp continued growth doing more of the same or of local political and cultural sensitivities wherever should we pursue new but related businesses? they operate. We will continue to attract, retain Are we a Singapore company with overseas and develop talent so that we have the best people operations or a global company based in Singapore? in the right positions. What kind of Keppelites do we need to drive our business strategies? Over the past decade, we have built up our financial strength, developed proprietary knowledge and These questions stimulated robust discussions by designs and honed our execution skills. This is a members of the Keppel Corporation Board and firm foundation from which the Group will scale senior management from across the Keppel Group new heights. during an offsite strategy meeting in Chengdu in late March. With our commitment to excellence, drive and passion to succeed, Keppelites have what it takes Four strategic focus areas emerged from the two to make the next decade another era of growth. days of discussions.

We will need to continue to innovate, improve and enhance our products and processes, as well as seek productivity gains from each employee, so that projects can be delivered better and more efficiently to our customers.

Keppelite I April 2011 4 Sustaining Growth Growth

Solid start for 2011

The Group achieved a net profit of $346 million in 1Q 2011, 7.8% higher than the corresponding period in 2010. Earnings Per Share were 21.5 cents and Annualised Return On Equity was 19.3%. Economic Value Added of $225 million was $12 million lower than 1Q 2010.

REVENUE AND PROFITS Group revenue of $2,419 million was marginally below that of the comparative quarter in 2010 of $2,421 million. Revenue from the Offshore & Marine Division of $1,199 million was $294 million or 20% lower. The decline in revenue was due to lower volume of

work. The Division completed Supported by strong utilisation and dayrates, the strong momentum in new orders bodes well for Keppel Offshore & Marine which has secured and delivered three rigs, a creditable $4.5 billion of new orders in 1Q 2011 two specialised vessels and two major upgrade/repair contracts. Net Profit by Segments S$m 1Q 2011 % Restated* 1Q 2010 % % Change Revenue from the Infrastructure Division Offshore & Marine 216 62 205 64 5 increased by 4% to Infrastructure 40 12 31 10 29 $650 million. Higher Property 83 24 83 26 – revenue generated from the co-generation power plant Investments 7 2 2 – NM in Singapore was partly Total 346 100 321 100 8 offset by lower revenue from Engineering, Procurement * Restated due to retrospective application of INT FRS 115, which is effective 1 January 2011. and Construction (EPC) contracts in Qatar. increase was mainly due INT FRS 115 Agreements progressive recognition based to progressive revenue for Construction of Real on percentage of completion. The Property Division recognition from Reflections Estate on 1 January 2011, Consequently, revenue delivered an 87% at Keppel Bay and other the Group recognises revenue was fully recognised for a growth in revenue from residential projects in for its overseas trading development in Bangalore in $303 million to Singapore. Following projects on completion the current quarter as it was $568 million. The the Group’s adoption of of each project instead of completed in March 2011.

Keppelite I April 2011 Sustaining Growth 5

Located in the Hunnan New District, the Shenyang township development will yield a total of 7,026 homes

At the pre-tax level, Group in Singapore. Profit from dayrates for high-specification demand and growth due to profit of $494 million was Investments was slightly jackups, as well as increases property-cooling measures. 7% above that of the higher compared to the in exploration and production Nevertheless, these markets corresponding quarter in same quarter last year. budgets. The recent surge are expected to remain 2010. Despite a higher in orders has reversed the positive supported by stable operating profit, the Offshore After taking into account declining trend in orders of economic growth. We will & Marine Division reported a income tax expenses and the last two years. continue to time our project slightly lower pre-tax profit of non-controlling interests, launches to market demand. $266 million, a decrease of net profit attributable In the Infrastructure Division, $4 million from the previous to shareholders was the rising global focus on In Vietnam, we will capitalise year. This was mainly due to $346 million. The Offshore sustainable urbanisation will on rising demand for lower interest income and & Marine Division remained translate into demand for waterfront homes to launch contribution from associated the largest contributor to solutions in clean water, a township project in Ho Chi companies. net profit at 62%, followed waste management and Minh City later this year. by Property Division at energy generation. The Profit from the Infrastructure 24%, Infrastructure Division Group will draw useful On the commercial front, Division increased by 38% at 12% and Investments lessons from the ongoing Singapore’s Grade A and to $51 million. This was Division at 2%. challenges faced in our EPC prime office rents rose mainly attributable to projects in Qatar, and work on the back of growing better performance by to strengthen our execution business confidence. Our Keppel Energy, partly offset PROSPECTS capabilities in that segment. portfolio of prime office by lower contribution The Offshore & Marine buildings will benefit from from Keppel Integrated Division secured a creditable As the Group expects growth this improvement as we Engineering. $4.5 billion of new orders in in Asia to drive demand for continue to make selective the first quarter of 2011. This logistics and data centres, acquisitions. Profit from the Property is more than the total orders we will focus on providing Division rose 14% from $147 secured for the whole of integrated logistics services in Amidst a more complex million to $167 million due last year. The net order book selected regional markets, and external business setting and to higher contribution from stands at $7.5 billion with building a portfolio of high- uneven global growth, the trading projects, partly offset deliveries into 2014. quality data centre assets. Group will persist to sharpen by lower share of profit our competencies and fortify from associated companies The strong momentum in The residential property our capabilities to navigate developing Marina Bay Suites order flows was supported market in Singapore and through this uncertain and Marina Bay Residences by strong utilisation and China saw moderation in environment. keppelite

Keppelite I April 2011 6 Sustaining Growth

Focused on sustainable growth Keppel Corporation CEO Mr Choo Chiau Beng presented the Company’s 1Q 2011 results on 20 April 2011. Keppelite reproduces excerpts of his speech.

CHALLENGING EXTERNAL Notwithstanding Japan’s improving global economy With the budgeted increase ENVIRONMENT woes and rising inflation, means that the prospects for in E&P spending by major oil The global economic recovery Asia’s overall growth is our key businesses remain companies, in pace with the is slow, with developing expected to remain resilient, good. continued growth in demand countries expected to led by China and India which for oil, we expect the market expand faster than the are projected by the IMF to The returning market for high-specification jackups advanced economies. The grow by 9.6% and 8.2% confidence in the Offshore to remain active. The issue of US economy continues to respectively. & Marine industry has deepwater drilling permits recover gradually, with some translated into a strong flow in the Gulf of Mexico has improvement in job creation In Singapore, growth for of orders in the first quarter. gradually resumed, and we and consumer spending in the full year is expected to Our Offshore & Marine expect to see continued good the past few months. moderate in the range of 4% Division secured $4.5 billion prospects for our deepwater to 6%. The political turmoil worth of new orders in the solutions. While some European in the Middle East and North first quarter, more than countries are seeing better Africa region has resulted what was secured for the We will continue to growth, Europe as a whole in oil prices moving beyond whole of 2010. Since then, strengthen partnerships with remains mired in sovereign US$100 a barrel. in the first weeks of April, our customers to deliver debt issues. The world’s third we have secured a few more projects that meet their largest economy, Japan, is OFFSHORE & MARINE contracts, bringing the total evolving needs as well as grappling with the aftermath Despite the challenging of new orders secured year ensure that we extract value of a three-fold disaster. external environment, the to date to $5 billion. from each contract.

INFRASTRUCTURE Our Infrastructure Division continues to work hard to seize opportunities for value creation in the global move towards sustainable solutions. Our environmental engineering arm, Keppel Integrated Engineering (KIE), is participating in several tenders in the UK for Energy- from-Waste plants.

The ongoing work to expand our power plant in Jurong Island is progressing well. Keppel Energy will also continue to seek opportunities to grow its power generation business both within Singapore and overseas. Keppel

Keppelite I April 2011 Sustaining Growth 7

Telecommunications & growth, and will focus on Transportation is focused on developing quality homes in growing its logistics footprint these markets. in its key markets, such as China, and expanding its With Asia’s growth expected data centres business. to remain reasonably healthy, the office market is likely PROPERTY to stay firm, auguring well The series of property market for Keppel Land and K-REIT cooling measures rolled out Asia’s strategy to grow their in Singapore and China have portfolios. started to take effect. In Singapore, private home SINO-SINGAPORE price growth slowed in the TIANJIN ECO-CITY first quarter. However, we The Sino-Singapore Tianjin expect demand in the mid Eco-City is making steady to luxury homes segment in progress. The project Singapore to remain stable. continues to attract partners who are keen to In China, transaction volumes leverage the Eco-City to have dropped although test bed and showcase their prices are still holding up for eco-solutions, as well as now. As the effects of the to tap into the dynamic measures filter through the growth of the Tianjin Binhai economy, and prices soften New Area. in the months ahead, we may see further adjustments In April, we broke ground on in official policy. our mixed-use development in the Eco-City which For the first quarter, our includes three office towers, homes in both Singapore and retail premises and serviced China have continued to see apartments. Our eco-homes Keppel Integrated Engineering is participating in several Energy-from-Waste tenders in the UK steady sales, indicating that in Seasons Park launched in the fundamentals of demand October last year have also from genuine homebuyers continued to do well. FOUR FOCUSES opportunities in adjacencies remain sound, especially in The Group has started 2011 to grow and integrate along China’s second and third Meanwhile, KIE has on a solid footing. We will the value chain. tier cities. established a joint venture continue to deliver value to with Chinese partners with our customers by seeking To support our business There will be opportunities to the objective to pursue gains in both innovation growth strategy, we will acquire quality sites at good the building, ownership and productivity from each spare no effort in attracting, prices and capture value and operation of a water project and each employee. retaining and developing from the growing aspirations reclamation plant in the talent to ensure that we have of Asia’s growing middle Eco-City. The proposed plant To maximise Group synergy, the best people in the right class to own their own will serve the entire Eco-City, we will continue to grow positions. We will build on homes. We remain positive providing treated water of our sustainable development the good performance of on the long-term prospects quality higher than China’s business platform through the first quarter to sustain of countries such as China, required standards which enhanced cross-business unit delivering value to our Vietnam and Indonesia that can be used for a range of collaboration. In each of our shareholders. keppelite have continued to show non-potable functions. key businesses, we will seek

Keppelite I April 2011 8 Sustaining Growth

Positioning for the future The Keppel Group continues to invest in building competencies and harnessing synergies to secure sustainable streams of income. Keppelite reproduces excerpts of Senior ED and Group Finance Director Mr Teo Soon Hoe’s review of the quarter’s performance and company outlook.

FREE CASH FLOW and Floatel International, the first quarter of this year. Of Holdings and Floatel Net cash generated from development cost of Marina the 12 rigs ordered, 9 were International, enable us operations for the quarter Bay Financial Centre (MBFC), of our proprietary KFELS to better tap the growth was $506 million, $64 million Ocean Financial Centre (OFC) design. prospects in deepwater higher than the same period and the expansion of Keppel floating production last year while expenditure Merlimau Cogen (KMC) While we saw healthy new systems and quality on property developments power plant. There was also orders, we continued to floating accommodation and existing Offshore some operational capital focus on executing the semisubmersibles. & Marine contracts were expenditure by Offshore & ongoing projects well for our partially offset by deposits Marine Division. As a result, customers, making several With increasing Exploration received from new Offshore free cash flow had an outflow on-time, within budget and and Production (E&P) & Marine orders. This led to of $20 million. safe deliveries. expenditure and the longer a smaller negative working term growth in global capital change of $93 million BUSINESS REVIEW AND We are also constantly capex by oil companies, and net cash from operating OUTLOOK seeking opportunities the Offshore and Marine activities of $387 million. to strengthen our core industry is set to continue Offshore & Marine competencies in our Offshore on its robust recovery path. For the quarter, the Group With returning market & Marine Division and grow Spending in both shallow spent $441 million, which confidence, we enjoyed a into adjacent businesses. For water and deepwater is includes the acquisitions of our strong order flow for high- example, our investments in expected to increase in the stakes in Dyna-Mac Holdings specification jackups in the topside fabricator Dyna-Mac next few years.

Strengthening the lead as the total solutions provider for floating production systems, Keppel Offshore & Marine acquired a 27% stake in topside module fabricator Dyna-Mac Holdings

Keppelite I April 2011 Sustaining Growth 9

Infrastructure The latest industry figures point to a strong correlation between GDP growth and demand for gas and electricity in Singapore. The timely completion of the 800 MW expansion of the KMC power plant in 2013 is therefore expected to meet the increasing electricity demand in Singapore.

Also, the invaluable experiences gained from past and existing projects put Keppel Integrated Engineering (KIE) in a good position to capture opportunities to offer cost- effective environmental engineering solutions.

The UK and China markets Keppel Energy seeks opportunities to grow its power generation business both within Singapore and overseas are currently seeing a growing acceptance of Waste-to-Energy and water Property property launches according actively seeking attractive technologies, and KIE is The cooling measures to market conditions. opportunities to grow our leveraging this trend to targeted at the property pipeline. The past quarter actively pursue projects in sector in our key markets For the office market, saw a slew of acquisitions, the two markets. have had some impact industry figures point to a from a prime residential on home sales in the past continued recovery in prime site in Sengkang, to good Our Logistics and Data quarter. In Singapore, home Grade A office rentals in grade offices in the Central Centres businesses are also prices have continued to Singapore, owing to the Business District locations in poised to ride the uptrend increase, but the rate of healthy take-up for newer, Singapore. These acquisitions in demand to grow further which is moderating. better quality offices. We will contribute to the earnings in the years ahead. Recently, expect commitment levels for stream from our Property Keppel Datahub was one of On the other hand, the the second phases of MBFC Division. the pioneering data centres longer term prospects and OFC to continue to do in Singapore to be certified in China remain good well this year. K-REIT Asia, as Group Outlook as “green”, or energy due to urbanisation and a key landlord in Singapore’s After a decade of growth, we efficient, by the Infocomm economic growth, despite business and financial districts, are committed to differentiate Development Authority of some volatility in the near is also expected to benefit ourselves through driving Singapore. With growing term. With the rest of Asia from this positive trend in the excellence in our businesses, environmental awareness, continuing to perform well, office market. and harnessing synergy from this certification helps to demand for quality homes is our core competencies, with strengthen our competitive expected to be sustained. We With the homes and the aim of maximising and edge in the data centres are monitoring the markets offices markets enjoying sustaining value for our business. closely and will time our stable growth, we are also stakeholders. keppelite

Keppelite I April 2011 10 Sustaining Growth

Growth amidst volatility Keppelite highlights some questions and answers at the 1Q 2011 results webcast.

ON SEMIS AND DRILLSHIPS ORDERS CCB and TCH: We are getting enquiries on semisubmersibles. With the enquiries coming to Singapore and Brazil, we are definitely in the race for new orders.

The Korean yards are shipbuilders essentially and they have huge facilities which allow them to price their drillships attractively. We are better at building jackups and will continue to focus on that. Nonetheless, we have Harnessing the synergy of our global network of yards, we can expand capacity indirectly to capture market opportunities a compact drilllship design which we have presented margins remain relatively ON INFRASTRUCTURE to be good in the coming to owners. They like the high in 1Q 2011 because DIVISION quarters. design. When the capacities we are still working on some TCH AND TSH: We are at the Korean shipyards good contracts obtained two completing the Qatar ON TIANJIN ECO-CITY tighten further, we believe to three years ago. Domestic Solid Waste TSH: We have said that the that we will be in a better Management Centre soon operations of the Tianjin Eco- position to market our For the rest of this year, there while the Doha North City project will be profitable drillships. will be a mix of new and old water treatment plant will starting from next year. We contracts in our orderbook, take a little bit more time. hope contributions from ON YARD CAPACITY and we can expect overall Most of the increase in the this project will commence CCB: We have seven yard margins for 2011 to be lower Infrastructure Division’s profit towards the later part of this

facilities in Singapore, one than that of 2010. was contributed by Keppel year. keppelite facility in Bintan, two yards in Energy, and there were no the Philippines and one yard ON PETROBRAS’ writebacks of provisions this CCB – Choo Chiau Beng, CEO, in Nantong, China. Besides TENDERS quarter. Keppel Corporation these yards in Asia, we also CCB AND TCH: Petrobras, as TSH – Teo Soon Hoe, have a yard in Brownsville, a state-owned company, has The volatility of earnings in Senior ED and Group Finance Texas, United States. As not certain bidding rules. Hence, the Infrastructure Division Director, Keppel Corporation all the yards are busy, we have when they could not achieve is due to the significant capacity. It all boils down to what they wanted, they had provisions made in the TCH – Tong Chong Heong, the pricing and whether it to cancel the tender. Currently, previous quarter, while for ED, Keppel Corporation; CEO, makes commercial sense. a company with Petrobras this quarter, operations have Keppel Offshore & Marine & as a 10% investor has been returned to normal. If our Chairman, Keppel Integrated ON OFFSHORE & formed, and it will go out energy business continues to Engineering MARINE’S MARGINS to negotiate with qualified perform well, we can expect CCB: Offshore & Marine’s bidders. Infrastructure’s earnings

Keppelite I April 2011 Sustaining Growth 11

Data centres boost profits

Keppel Telecommunications items improved 10% to & Transportation (Keppel $13.9 million. T&T) delivered creditable 1Q 2011 results with a For logistics, Keppel T&T revenue of $30.2 million, expects to continue to enjoy 19% higher than the high warehouse occupancy. corresponding quarter in Warehousing capacity in 2010. The improvement China will be boosted in was due to higher revenue the coming months as the generated by the Data Centre new Nanhai Distribution Division. Consequently, Centre in Foshan comes into operating profit improved operation. Keppel T&T will as a result of the additional continue to pursue growth contribution from the data opportunities in Singapore Keppel T&T’s revenue and operating profit in the first quarter improved due to higher revenue centre business. and overseas to enhance its generated by the Data Centre Division logistics footprint. Profit before tax and consolidation of Keppel’s capacity to meet the strong exceptional items rose 11% Keppel T&T’s data centres data centres under Keppel demand. Concurrently, to $18.8 million due mainly in Singapore and Ireland T&T and the expansion of its Keppel T&T’s data centre to a higher operating profit. continue to maintain full current facilities underway, fund continues to seek high- Keppel T&T’s attributable occupancy at the fitted- the company will be able to quality data centre assets for profit before exceptional out facilities. With the provide greater data centre investment. keppelite

K-Green Trust makes steady progress

K-Green Trust posted a to lower revenue realisations Business trusts pay result of $27.1 million in first quarter net profit of from its Senoko Waste-to- distributions from cash distributions paid out to $3.5 million, 5.4% higher Energy (WTE) Plant from flow earnings of its assets. unitholders, offset slightly than projected. Listed on the ongoing flue gas upgrading K-Green’s distribution per by a $3.5 million increase in Singapore Stock Exchange works. Upgrading works unit for the first half of 2011 comprehensive income and last June, the Trust’s accounts are set to accelerate and is likely to be 3.13 cents. $1.8 million worth of new were compared to pro-rated to be completed by June Free cash flow for K-Green units for the payment of projected figures. 2012. in Q1 was $9.5 million. trustee-managers’ fees. Earnings per unit stood at Revenue from its assets for The trust also owns two 0.56 cents. The group’s net asset value the three months ended other plants: Keppel Seghers as at 31 March 2011 was

March 31 was $18.2 million, Tuas WTE Plant and the Unitholders’ funds decreased $1.12. keppelite 3.9% lower than the projected Keppel Seghers Ulu Pandan to $704.3 million from $18.9 million. This was due NEWater Plant. $726.1 million. This was a

Keppelite I April 2011 12 Sustaining Growth

Keppel Land’s 1Q net profit soars 45.5%

Keppel Land achieved a investment was 15.7% Keppel Land sold 85 homes opportunities in Singapore. 45.5% growth in net profit higher at $14.3 million, with in the first quarter, mainly Alpha Asia Macro Trends to $92.1 million in 1Q 2011, increased contribution from from The Lakefront Fund, managed by Alpha over the corresponding period K-REIT Asia. Residences which sold about Investment Partners, has last year. Earnings were lifted 91% of the 591 launched jointly acquired Grade A by higher contributions from In January 2011, the Group units. It also won the bid office tower Capital Square property trading, a greater adopted the mandatory new for a prime residential site with NTUC Income for about share of profit from K-REIT accounting policy under near Sengkang MRT in $889 million. K-REIT Asia Asia and a $24.4 million gain which revenue and profit March 2011. The 622-unit acquired four more strata on the divestment of the from overseas trading development is slated for floors in Prudential Tower for Group’s interest in Keppel projects are recognised on launch this year. $125.1 million. Digihub. full completion instead of progressively. For large-scale Pre-commitment level at Keppel Land sold about 360 Property trading recorded an projects, however, recognition Ocean Financial Centre units overseas in 1Q 2011. 8.2% increase in net profit will be on completion of rose to 82.3%, with new Despite cautious market to $51.6 million due to sales project phases, instead of the commitments secured from sentiments due to recent of Reflections at Keppel entire development. international companies in cooling measures and a Bay and The Lakefront the professional services and seasonally quiet first quarter Residences in Singapore, as Singapore trading projects energy sectors. for property sales, township well as Elita Promenade in will continue to recognise homes in China remain high Bangalore, India, upon its revenue and profit The Company’s property in demand. Central Park City physical completion in March progressively based on the fund management vehicles in Wuxi continued to attract 2011. Profit from property percentage of completion. continue to seize acquisition buyers, selling 110 units in the first quarter.

The Seasons, a new township in Shenyang, is slated for soft-launch in 2011 subject to market conditions. New phases of 8 Park Avenue and The Springdale in Shanghai, The Botanica in Chengdu as well as Seasons Park in Tianjin Eco-City, will also be progressively launched this year. In April 2011, Keppel Land China unveiled Seasons City, its first mixed- use development in Tianjin Eco-City (refer to Special Focus on Page 22).

Keppel Land registered strong earnings growth in 1Q 2011 backed by positive take-up for its projects, such as The Lakefront Residences Riviera Point, a waterfront in Singapore condominium development

Keppelite I April 2011 Sustaining Growth 13

in Ho Chi Minh City (HCMC), Vietnam, achieved encouraging results, with about 58% of 182 units sold at its soft launch in January 2011. The company also sold a 36.75% effective stake in Phase 1 (1,068 units) of the project to PRUPIM Vietnam Property Fund for US$19.7 million.

Meanwhile a new waterfront township development in South Rach Chiec, HCMC, is primed for launch later in 2011 to tap on Vietnam’s K-REIT Asia will benefit from the government’s efforts to establish Singapore as a location-of-choice for businesses rising demand for quality homes. KEPPEL LAND’S FINANCIAL HIGHLIGHTS

K-REIT Asia’s 1Q 1Q 2011 Restated 1Q 2010 % Change Distributable income ($’000) ($’000) jumps 36.1% K-REIT Asia achieved a 36.1% Turnover 357.9 106.5 236.1 increase in distributable EBITDA 78.4 33.7 132.6 income to $24.3 million Pre-tax Profit 129.6* 83.8 54.7 for 1Q 2011 over the same Net Profit 92.1* 63.3 45.5 period last year. This was due mainly to net property * Includes a $24.4 million gain on divestment of interest in Keppel Digihub income (NPI) which rose Figures for the quarter ended 31 March 2010 have been restated due to a change in accounting policy 7.6% to $14.9 million and share of results of associated Pte Ltd, the holding company K-REIT Asia will have a Looking ahead, K-REIT Asia companies, which increased for Marina Bay Financial total of 92.8% interest in is well poised to benefit from 194% to $6.2 million in Centre Towers 1 & 2 and Prudential Tower when the the government’s efforts 1Q 2011. Marina Bay Link Mall. acquisition is completed in to establish Singapore as May 2011. a location-of-choice for The REIT’s Australian office The Distribution Per Unit businesses. The Manager developments, represented (DPU) for 1Q 2011 grew K-REIT Asia’s assets in will further its efforts to by a 50% stake in 275 George 34.6% year-on-year to 1.79 Singapore account for 90% retain and attract quality Street and full ownership cents, and 34.7% quarter- of its total assets under tenants, manage leases of the office tower at 77 on-quarter to 7.26 cents on management. Of these, due for renewal, optimise King Street, contributed to an annualised basis. more than 90% are located the performance of its the higher NPI and offset in the Marina Bay and Raffles assets, improve operational the divestment of Keppel On 21 March 2011, Place downtown precincts. efficiencies, as well as Towers and GE Tower in K-REIT Asia announced As at end-March 2011, its manage capital in a prudent

Singapore. The increase in the proposed acquisition Singapore portfolio achieved manner. keppelite share of results of associated of four contiguous strata an average occupancy of companies was due to the office floors in Prudential 99%, while its total portfolio, acquisition of a one-third Tower, equivalent to a 19.4% including the Australian interest in BFC Development interest of the strata area. assets, stood at 96.9%.

Keppelite I April 2011 14 Sustaining Growth

Keppel T&T realigns China portfolio

Keppel Telecommunications logistics business over the Midea, the sale of Annto 31 December 2010, and & Transportation (Keppel years, Annto is also looking will allow Keppel T&T to it is expected to result in a T&T), through its subsidiary into the expansion of its use the proceeds to grow net gain of approximately Keppel Logistics, has entered manufacturing business, and strengthen our core $20.7 million. The sale price into a conditional agreement which does not fit into businesses of integrated was arrived at a willing buyer to sell its 35% shareholding Keppel T&T’s businesses. port logistics and third- and willing seller basis. of Wuhu Annto Logistics Midea, therefore, offered to party logistics in our chosen (Annto) to Midea for a net buy over Keppel T&T’s stake Chinese markets.” “Besides our river port in proceed of approximately in Annto. Foshan and our upcoming $52.6 million. The conditional sale is distribution centres in Commenting on the sale of expected to be completed Nanhai and Tianjin, we Acquired in 2006, Annto Annto, Mr Pang Hee Hon, this year and is subject to are currently exploring offers integrated logistics CEO of Keppel T&T, said, the approvals by the relevant opportunities to replicate services of transportation, “Although it has been a very authorities in China. The our success and bolster our warehousing and distribution successful and rewarding book value of Annto presence in several cities in in China. Besides growing its four-year partnership with was $31.9 million, as at China.”

Just earlier in January 2011, Keppel T&T signed the agreement for land use rights with the Sino- Singapore Tianjin Eco-City Investment and Development Co Ltd (SSTEC) for the development and operation of a green integrated logistics distribution centre in the Tianjin Eco-City, marking Keppel T&T’s first and significant step into North China.

Spanning 2.8-ha and featuring 35,000 sm of modern warehouse space when completed, the integrated logistics distribution centre will be wholly-owned and operated

by Keppel T&T. keppelite Keppel T&T will use the proceeds to grow and strengthen its core businesses of integrated port logistics and third-party logistics in China

Keppelite I April 2011 Sustaining Growth 15

Marine contracts worth $240m secured

Keppel Singmarine will build for SBM Offshore a prototype multi-purpose dive support construction vessel scheduled for delivery in 2Q 2013

Keppel Shipyard and faithful customers who turn Dynamic Positioning (DP) III Keppel Shipyard has also Keppel Singmarine have to our yards worldwide for system. secured a fast-track project clinched new contracts their fleet expansion and for the upgrading of an totaling $240 million from upgrading needs. The DSCV will be equipped FPSO vessel from Petrofac international customers. with a fully integrated International (UAE) LLC, These entail building a new “Looking ahead, I am 12-men saturation diving a subsidiary of Petrofac. multi-purpose dive support confident that we will system that enables divers The upgrading of the ex- construction vessel (DSCV) continue to strengthen the to work safely down to a FPSO East Fortune includes for SBM Offshore, as well as mutual trust and partnership depth of 300 metres, and refurbishment and life modifying and upgrading a with SBM Offshore and a 250 tonnes (t) crane to extension works, engineering, Floating Production Storage Petrofac with Keppel’s support subsea oilfield fabricating, installing and and Offloading (FPSO) vessel commitment to quality and development. It will also integrating new topside for Petrofac. reliability.” feature a 200-t double drum process modules, upgrading winch, four chain lockers of spread mooring and Mr Nelson Yeo, MD (Marine) Keppel Singmarine will and a stern roller for anchor auxiliary support systems. of Keppel Offshore & Marine build for SBM Offshore a handling functions. (Keppel O&M), said, “These prototype multi-purpose Work has commenced in new contracts reflect the DSCV scheduled for delivery Since 2000, sister company 1Q 2011. Designated for confidence of our customers in 2Q 2013. This cutting-edge Keppel Shipyard has an oil and gas field offshore in the capabilities of the vessel combines capabilities completed 13 FPSO and FSO Peninsular Malaysia, this Keppel O&M group. We of diving support, subsea projects for SBM Offshore FPSO facility will be able are proud of the solid construction and anchor with another four ongoing to handle both oil and gas partnerships built with handling, and features a FPSO conversions. production. keppelite

Keppelite I April 2011 16 Sustaining Growth

SEAFOX 5 secures first wind farm charter

Keppel FELS’ offshore wind turbine installation vessel has won its first charter contract from Aarsleff Bilfinger Berger (ABJV) Dan Tysk, worth over EUR 35 million. The vessel, SEAFOX 5, is jointly built and owned through a 75/25 joint venture company between Keppel FELS and Seafox Group, a leading provider of offshore accommodation and multi-support service jackups.

Built to Keppel’s proprietary KFELS MPSEP (Multi-Purpose Self-Elevating Platform) Apart from servicing offshore wind farms, SEAFOX 5 also meets all the stringent operating regulations of the offshore oil & gas industry concept, SEAFOX 5 is targeted for completion in 2H 2012. It will be Mr Wong Kok Seng, MD of Upon completion, “SEAFOX 5’s ability to used to install offshore Keppel FELS, said, “This new SEAFOX 5 will be managed withstand harsh offshore wind foundations in the charter contract is a significant and operated by Workfox environmental conditions 288 megawatt (MW) DanTysk milestone in establishing BV, the leading operator of all year round will be windfarm, developed by Keppel’s footprint as a value- multi-support service jackups advantageous in this first Europe’s leading energy added solutions provider in the Southern North Sea, charter where it is expected company Vattenfall and for the emerging offshore and a member of the Seafox to work through winter in the Stadtwerke München, in wind energy sector. I would Group. North Sea. We look forward the German sector of the like to thank our partner, to meet ABJV DanTysk’s North Sea. The customer Seafox, whose rich operating Mr Keesjan Cordia, MD of expectations with the delivery ABJV DanTysk has an option expertise was instrumental Seafox Contractors BV, said, of safe and uninterrupted to extend the charter by in the winning of our first “Developers and operators operations as we fortify another 90 days. charter in the North Sea.” of offshore wind farms SEAFOX 5’s track record.” place high emphasis on the reliability of delivery The KFELS MPSEP, designed Our proprietary KFELS MPSEP vessel and operations. As such, by Keppel’s R&D arm, will offer important advantages the collective strengths and Offshore Technology over the existing fleet of installation track records of the Seafox- Development, features an Keppel alliance, augmented offshore pedestal crane vessels, in terms of safety, and by an outstanding vessel with a 1,200-tonne lifting operational and cost efficiency. concept, have launched capacity, and a spacious deck Mr Wong Kok Seng us forward in sealing the in excess of 3700 sm with a MD charter contract with ABJV variable load of 7000 metric Keppel FELS DanTysk. tonnes. keppelite

Keppelite I April 2011 Sustaining Growth 17

N-KOM drydocks its first LNG vessel Safe and on-time project completion garners Qatar’s world class shipyard a bonus of US$10,000 from Maran Gas Maritime.

Since its inauguration last the result of a landmark The 43-ha mega shipyard shipyard and drydocking November, Nakilat-Keppel partnership between the facility has garnered services for their vessels. Offshore & Marine (N-KOM) world’s leaders in LNG a multitude of service has been kept busy with a transportation and offshore agreements with various “The ship and rig owners range of projects. Adding and marine solutions – Qatar major fleet owners, including in the region are getting to to its growing track record Gas Transport Company Ltd a three-year ship repair know us better, and the high lately was the completion of (Nakilat) and Keppel Offshore arrangement with Shell level of quality and value that special survey works on the & Marine, respectively. International Trading and N-KOM offers. With the Very liquefied natural gas (LNG) Shipping Company Limited. Large Crude Carriers-size carrier, Simaisma. “Substantial expertise drydocks now on-line, we and resources have been N-KOM has also entered are ready to help maintain Notably, Simaisma has employed in the planning into a memorandum of and repair the fleet of our become the first LNG carrier and development of this understanding with Gulf customers from all over.” to be drydocked in Qatar. For yard and its management Drilling International (GDI), the successful delivery of this systems. As such, N-KOM and letters of intent with The yard recently completed project on time and without is able to offer a host of Idemitsu Tanker, Mitsui O.S.K. spud-can cleaning on incidents on 19 April 2011, solutions in ship repair and Lines, NYK Line, Kawasaki Al Khor, a KFELS B Class N-KOM was awarded a bonus conversion, rig repair, and Kisen Kaisha, Lino Lines jackup rig built by Keppel of US$10,000 by the vessel’s the fabrication of onshore and Marine Contracting FELS for GDI. keppelite manager and operator, Maran and offshore structures.” Association, to provide Gas Maritime.

Mr Andreas Spertos, Technical Director of Maran Gas Maritime, said, “I am very pleased to offer N-KOM the delivery bonus. This Simaisma project demonstrates N-KOM’s strong operational capabilities, and I am confident that they will continue to deliver value-added services to their customers.”

Chartered by RasGas, the second largest LNG producer in the world, Simaisma arrived at N-KOM on 29 March 2011, and was turned around in 20 days.

Mr Abu Bakar Mohd Nor, CEO of N-KOM, said, “N-KOM is N-KOM recently completed the drydocking of its first LNG vessel Simaisma, managed and operated by Maran Gas Maritime

Keppelite I April 2011 18 Sustaining Growth

Maritime Week in full steam

Singapore’s leading maritime exhibitor at this event held at Maritime Sector’ with five “There is a lot of room still for event swung into action from Marina Bay Sands Expo and renowned industry panelists. owners, operators, shipyards 10 to 15 April 2011, with an Convention Centre. The opportunities offshore and other equipment and entire week of conferences, energy creates for the Asian service providers in Asia to dialogues, exhibitions and A full day of the conference maritime sector, offshore learn from one another, and social events in celebration was set aside to discuss technology evolution, collaborate to raise the safety of all things maritime. the developments, role and support fleet demand, and quotient and attractiveness Keppelite highlights the potential of offshore oil and the environmental and of Asia’s maritime industry as Group’s participation at the gas in the Asian energy safety challenges of offshore a whole,” Mr Tong said. Singapore Maritime Week mix, and the engineering operations, were among (SMW) 2011, led by the challenges faced as the several key areas discussed. International Maritime and Port Authority industry moves into deeper Maritime Awards (MPA). waters and more demanding “With Singapore as the In recognition of its environments. gateway to Asia, there continuous efforts to build Sea Asia 2011 are many opportunities up the industry’s talent The highly anticipated Mr Tong Chong Heong, CEO for dialogue, meaningful pool and raise the offshore biennial Sea Asia Conference of Keppel O&M, chaired exchange and to harness the and marine knowledge returned to SMW this year, a session entitled ‘The collective strengths of the and technology capital in bringing together business interface with the Asian Asian maritime companies. Singapore, Keppel O&M was leaders and maritime professionals from diverse sectors of the global shipping industry.

Organised by Seatrade and the Singapore Maritime Foundation, the three-day convention, of which Keppel Offshore & Marine (Keppel O&M) was a sponsor and exhibitor, drew over 12,000 visitors and 340 maritime and shipping businesses from 40 countries.

Keppel O&M also hosted the official Sea Asia 2011 cocktail reception, forging and renewing ties with customers, industry partners and vendors. Meanwhile, the company’s joint venture yard in Qatar, Nakilat-Keppel

Offshore & Marine, staged Mr Raymond Lim, Minister for Transport and Second Minister for Foreign Affairs, and Mr Michael Chia, MD (Offshore) of Keppel O&M and a sizeable presence as an Chairman of Singapore Maritime Foundation, taking a closer look at a KFELS B Class jackup at the opening of Singapore Maritime Week

Keppelite I April 2011 Sustaining Growth 19

responsible business practices and through technology innovation, we incorporate unique features into our product designs to reduce environmental impact and promote safe and sustainable operations.”

Maritime logistics forum Keppel Telecommunications & Transportation (Keppel T&T) was also part of the action at Maritime Week this year.

Keppel T&T CEO, Mr Pang Hee Hon, was one of the guest speakers at the inaugural Maritime Logistics International Forum, which ran from 12 to 13 April 2011.

Mr Tong Chong Heong, CEO of Keppel O&M (centre) gives an overview of Keppel’s proprietary rig design to Singapore’s Deputy Prime Minister The forum provided a and Minister for Defence, Mr Teo Chee Hean and government officials at Sea Asia 2011 platform for participants to learn and debate on the This occasion also saw the issues associated with the signing of the Maritime critical and rapidly expanding With Singapore as the gateway to logistics industry. It was well Asia, there are many opportunities for Singapore Green Pledge by ten industry members, attended by professionals dialogue, meaningful exchange and to including Keppel O&M. from the maritime and harness the collective strengths of the Witnessed by Mr Raymond logistics sectors, and students Asian maritime companies. Lim, Minister for Transport pursuing related fields in Mr Tong Chong Heong, and Second Minister for their studies. CEO Foreign Affairs, the signing Keppel O&M brings together key maritime Mr Pang shared on maritime community members to logistics, inland water champion clean and green transport in China as well bestowed the Excellence in as a premier global hub shipping in Singapore. as Keppel T&T’s integrated Training Development Award port and international port and logistics services in at the Singapore International maritime centre. Held in Emphasising Keppel’s North Asia. keppelite Maritime Awards (IMA) on conjunction with SMW strong focus on sustainable 12 April 2011. 2011, and organised by operations, Mr Wong Kok MPA, the evening function Seng, MD of Keppel FELS, The IMA recognises was well-attended by said, “We are committed individuals and companies luminaries from leading local to energy conservation and for their contributions to and international maritime- environment protection. Our Singapore’s development related companies. operations are infused with

Keppelite I April 2011 20 Sustaining Growth

Star delivery

Alpha Star, the second said, “This is our second our projects. Our philosophy DSS™ 38 semisubmersible safe and early delivery to is to provide maximum rig built for customer Queiroz QGOG and a sterling record value to our customers and A Diamond Galvão Óleo e Gás (QGOG) for our company. This we look forward to support upgrade by Keppel FELS was delivered outstanding achievement is QGOG as they expand their on 26 March 2011, four a demonstration of the great foothold in the deepwater Long-time customer months ahead of schedule teamwork and synergy we drilling segment.” Diamond Offshore and incident-free. For this have built with QGOG. was highly satisfied stellar construction record, Alpha Star has been after upgrades to its Keppel FELS was awarded a “It brings to fore the chartered by Petrobras semisubmersible rig, Ocean bonus of US$8 million by the excellence of our efficient for six years to support America, were completed customer. processes, project exploration and production on time, within budget management, innovative activities offshore in Brazil. and with zero lost-time Mr Tong Chong Heong, CEO methods and the Can-Do! incidents. of Keppel Offshore & Marine, spirit, which we apply to all Mr Leduvy Gouvea, CEO of QGOG, said, “With this In a letter of commendation ahead-of-schedule delivery, to Keppel FELS’ construction we are able to start work manager, Firdaus Rahim, earlier for Petrobras, and the project team, reinforcing our status as Mr David Wedgeworth, the premier drilling operator Senior Projects Coordinator in Brazil. We are confident for Diamond Offshore, that Alpha Star will be just said, “You and your project as successful as its sister team were able to deliver rig, the DSS™ 38 Gold our project quickly and Star, which is performing with a desired quality of successfully for Petrobras work. This in turn kept in Brazil. me within budget and on schedule. “Through the various projects we have worked “Your team met every on together, Keppel challenge and change FELS has proven to be of work scope with an an exceptional partner, outstanding attitude and delivering projects which a great desire to achieve exceed expectations and quality with the finished enable us to efficiently product. I look forward to serve the fast-growing work with you on future oil and gas exploration projects at Keppel.” industry. They share our commitment to provide Ocean America departed technologically advanced Keppel FELS promptly and high quality products on 5 March 2011 for its to our customers in a deployment off Broome in reliable and safe manner.” the Browse Basin of Perth, Alpha Star, the second of two DSS™ 38 semisubmersible rigs built by Keppel FELS for Brazil’s Australia. Queiroz Galvão Óleo e Gás, has been delivered four months early keppelite

Keppelite I April 2011 Sustaining Growth 21

Excellent execution No matter how complex their projects might be, vessel owners and operators can trust Keppel yards to provide consistently strong project management and execution.

In April, Keppel Singmarine and Keppel Shipyard completed a transshipment barge and a Floating Production Storage Offloading (FPSO) vessel respectively, on-time and without incidents.

Safe and efficient delivery Keppel Singmarine delivered the transshipment barge Straits Venture, safely, on time and within budget to Straits Corporation on 5 April 2011, meriting a bonus of $5,000.

Celebrating a stellar partnership and the successful conversion of FPSO Lewek Emas – (from left) Mr Nelson Yeo, MD of Keppel Shipyard, Mr Richard Ong, Chairman Mr Simon Lockett, CEO of Premier Oil, Lady Sponsor Mrs Mary Allan and Mr Lee Kian Soo, Chairman of EMAS and Chief Executive Director of Straits Corporation said, to support other marine Vietnam for six years, with an Dr Lee Boon Yang, Chairman “We are very optimistic operations for the oil and option to extend for another of Keppel Corporation, said, about the prospects for this gas industry. six years. “Keppel Shipyard is pleased new crane barge and are to support EMAS with the already planning to build Impressive Mr Lionel Lee, Group MD of conversion of its second two more of such vessels conversion EMAS, said, “Lewek EMAS FPSO, Lewek EMAS. Keppel within the next three years. Meanwhile, Keppel Shipyard is our second FPSO project and EMAS have worked I am greatly appreciative of is on track to deliver the with Keppel Shipyard with closely together to ensure the Keppel Singmarine team FPSO Lewek EMAS to owner whom we have established that the project works are for their efficiency and on PV Keez Pte Ltd after a win-win partnership. carried out meticulously and time delivery.” clocking over four million safely, and we are committed safe man-hours on the “This FPSO underscores to maintain these efforts as Named by Lady Sponsor, vessel’s conversion. EMAS’ ability to deliver a we near the completion of Ms Cecilia Lew, spouse of diverse range of customised this project.” Mr Richard Ong, this vessel Operated and managed by marine and offshore is an impressive addition EMAS Production (EMAS), support solutions, from The FPSO is expected to to Straits Corporation’s Lewek EMAS is amongst design and engineering to begin production in fleet. Capable of loading Vietnam’s largest FPSOs. maintenance and offshore 2H 2011, and will be able 30,000 tonnes of coal per The vessel has been installation. The addition of to produce up to 50,000 day, this barge is able to chartered by Premier Oil Lewek EMAS to our fleet barrels of oil per day and operate under challenging Vietnam Offshore B.V. for propels EMAS Production store about 680,000 barrels transshipment conditions at the development of the to be one of Asia’s leading of oil on location. keppelite sea, and has the flexibility Chim Sáo field off southern FPSO operators.”

Keppelite I April 2011 22 Special Focus

A series of events which took place in Tianjin Eco-City in April was kick-started with the groundbreaking of Seasons City, Keppel’s mixed-use development officiated by Senior Minister Goh Chok Tong

Breaking more grounds in Tianjin Eco-City The Sino-Singapore Tianjin Eco-City (Tianjin Eco-City) continued to make significant headway in securing strategic partnerships, drawing new investments and fulfilling project milestones over the past two months.

SM officiates Keppel’s Integrated Engineering for Seasons City were HE Chin Siat Yoon, Singapore’s milestones (KIE) and Tianjin Eco-City distinguished guests from Ambassador to China; Dr On 17 April 2011, Senior Investment and Development Tianjin including Mr He Lee Boon Yang, Chairman Minister (SM) Goh Chok Co., Ltd (TECID) to pursue Lifeng, Deputy Party Secretary of Keppel Corporation and Tong officiated the the building, ownership of the Communist Party Mr Teo Soon Hoe, Senior ED groundbreaking ceremony and operation of a water of China Tianjin Municipal and Group Finance Director of Keppel’s mixed-use reclamation plant in the Committee, Secretary of Keppel Corporation. development, Seasons Tianjin Eco-City. of the Work Committee City, and witnessed the and Director-General of Dr Lee said, “Keppel, with signing ceremony of a joint Seasons City Tianjin Binhai New Area its unique combination venture (JV) between Keppel Gracing the ceremony Administrative Committee; of core competencies in

Keppelite I April 2011 23

A series of events which took place in Tianjin Eco-City in April was kick-started with the groundbreaking of Seasons City, Keppel’s mixed-use development officiated by Senior Minister Goh Chok Tong

environmental engineering, serviced apartments with a developments in Singapore’s Land China. and integrated property total gross floor area (gfa) business and financial district, and township development, of about 254,398 sm. we will create vibrant, Seasons City is the commercial provides a holistic solution integrated and quality component of the Keppel for sustainable development To be developed in phases, live-work-play environments development which also and urban living. the first phase of Seasons which can meet the comprises Seasons Park, City comprises an office demand of international its first collection of some “We will build on these development of about tenants looking to 1,672 eco-homes. Since strengths with our 20,000 sm gfa and participate in the rapid its launch in end-October participation in the Tianjin retail premises of another growth of Tianjin and 2010, Seasons Park has been Eco-City, envisioned to be 20,000 sm gfa. The office Northern China. positively received with over a showcase and model in tower, Keppel Eco-Centre, 72% of 701 launched units sustainable development will be built according to “Seasons City is also the sold as at end-March 2011. and which serves as an the highest Platinum first commercial important platform for standard of the Tianjin development to roll out Water Solutions furthering Keppel’s growth Eco-City’s Green Building under Keppel Land China At a separate ceremony, in China.” Evaluation Standard. and we are looking into SM Goh also witnessed the opportunities in other cities signing of a JV agreement Located within the Keppel “Leveraging Keppel Land’s as well to build up our between KIE, a wholly Group’s 36.6-ha site, Seasons extensive experience of commercial portfolio,” said owned subsidiary of Keppel City comprises three office having developed many Mr Ang Wee Gee, Executive Corporation, and TECID towers, retail premises and landmark and prime office Vice Chairman of Keppel Continues on page 24...

Keppelite I April 2011 24 Special Focus

...continued from page 23.

to pursue the building, fresh water and alleviating Binhai New District and to unveiled their plans to ownership and operation of water scarcity challenges in further strengthen our track jointly develop a low carbon a water reclamation plant in North China. record in China.” emission, green commercial the Tianjin Eco-City. building within the Eco- BG (NS) Tay Lim Heng, NEW INVESTMENT Business Park in the Tianjin The JV company will be CEO of KIE, said, “This DEALS Eco-City. Called the “Low 40% held by KIE and 60% win-win partnership will SM Goh also witnessed Carbon Living Lab” (LCLL), held by TECID, with a synergise TECID’s experience the inking of several the building will be used to total investment value in the development and agreements between test-bed and demonstrate of RMB300 million. The construction of Tianjin Eco- Tianjin Eco-City’s master green building features proposed water reclamation City with KIE’s advanced developer, Sino-Singapore and building technologies plant will include a technologies and wide Tianjin Eco-City Investment in energy saving, carbon wastewater effluent experience in wastewater and Development Co., Ltd. footprint reduction and polishing unit with capacity treatment and water (SSTEC), and its partners on other areas. of 100,000 m3 per day and recycling. 17 April 2011. a water recycling facility Mr Ho Tong Yen, CEO that will produce 20,000 m3 “We look forward to SSTEC, the Building and of SSTEC, said, “We are per day of recycled water contribute towards the Construction Authority very pleased and excited initially, with the possibility growth of the water (BCA) of Singapore and to work with BCA and IE to increase the capacity of resource and wastewater International Enterprise Singapore to jointly develop recycled water to 42,000 m3 management industry in the Singapore (IE Singapore) the LCLL. There are many per day.

The water reclamation plant will serve the entire Tianjin Eco-City, upgrading treated wastewater effluent from an existing wastewater treatment plant to meet the most stringent national standards for wastewater discharge and also produce high quality recycled water.

The recycled water will be suitable for reuse in a number of non-potable applications such as landscaping, parks and golf courses irrigation, as well as in various industrial applications such as cooling water, dust control and construction activities. The recycled water from the plant hence provides an additional source of water, KIE inks JV agreement with TECID to pursue the building, ownership and operation of a water reclamation plant in the Tianjin Eco-City. Signing reducing overall demand on on behalf of KIE was CEO, BG (NS) Tay Lim Heng (seated first from left)

Keppelite I April 2011 25

Dignitaries from the Eco-City Administrative Committee and SSTEC officiating the groundbreaking of PAWSL’s China headquarters and the topping out for Phase 1 of the Ready-Built Factories in the EIP green buildings around Green transport collaborate to put energy in the Tianjin Eco-City. the world, but many are SSTEC and General Motors management systems in The base will consolidate expensive demonstration will bring in two-seat electric homes, offices and shops. its existing manufacturing projects. The LCLL is not vehicles for a green transport Panasonic will also participate operations in China and intended to be a costly system in the Eco-City. in the R&D of new green serve as the global logistics demonstration project, technology in the Eco-City. and warehousing hub, R&D but will be a practical, Communications centre and control centre low carbon and green Chinese communication Energy-efficient for branding and marketing. commercial building. applications provider, Sky lighting The total investment is at Communication will invest Philips will make the Tianjin RMB100 million. “The LCLL will provide about RMB155 million to GEMS World Academy an excellent opportunity set up its northern regional international school a As the first investor in the EIP, for companies, especially office in the Eco-Industrial testbed for energy-efficient PAWSL’s entry will help shape Singapore companies, Park (EIP). lighting. the eco-product value chain which wish to participate and create job opportunities in the Eco-City or to Wood recycling Developments at for the residents in the Eco- take advantage of Singapore manufacturer of the EIP City. It will also serve as this Government-to- eco-friendly wood products, At the EIP, several milestones an example to Singapore Government platform LHT Holdings will invest up were also recently achieved companies that are to showcase their green to RMB20 million to set up in March. interested in venturing into products, solutions and a wood waste recycling plant the Tianjin Binhai New Area. technologies to the in the EIP. This will enable Pan Asian Water Since PAWSL announcement Chinese market and developers in the Eco-City Manufacturing (Tianjin) of its investment in June beyond.” to achieve green standards Co Ltd (PAWSL) held a 2010, SSTEC has attracted in construction. groundbreaking ceremony RMB1.2 billion worth of In the same vein, several for the construction of its investments to the EIP. other deals were also Energy management China headquarters and inked. SSTEC and Panasonic will key manufacturing base Continues on page 26...

Keppelite I April 2011 26 Special Focus

...continued from page 25.

Phase 1 of the Ready Built their manufacturing bases TOWARDS SUSTAINABLE SSTEC, it seeks to bring to Factories (RBFs) was also in the Tianjin Eco-City. DEVELOPMENT the Tianjin market practical topped out in a separate They will also serve the The Tianjin Eco-City Sheng eco-real estate solutions for ceremony. Strategically thriving Tianjin Binhai New Chuang Investment and industrial, commercial and located next to the major Area, the surrounding Development Co., Ltd (Sheng retail tenants. highways that link the Northern China market, as Chuang) has also been Eco-City to Tianjin Port, well as export markets. established. With the founding At present, Sheng Chuang Tianjin Airport, Tianjin City of Sheng Chuang, SSTEC is developing a total of and Beijing, the RBFs boast SSTEC will invest takes another step towards its 398,000 sm of eco-industrial, green features such as solar RMB220 million for vision of establishing models eco-commercial and eco- photovoltaic panels and the construction of RBF for sustainable buildings retail spaces estimated at energy-saving insulation Phase 1 which is expected and for the managing of RMB800 million. Moving materials. to be completed by July eco-industrial, commercial ahead, Sheng Chuang 2011. Together with and retail spaces. is expected to lease and They will be “ready-to- Phase 2, the RBFs will boast manage SSTEC’s assets, use” facilities for investors a total built-up area of As the development and estimated to be worth interested in establishing 170,000 sm. asset management arm of RMB1.5 billion by 2014.

keppelite

At the helm

Ms Tang Wai Yee has Business Development and important project through been appointed SSTEC’s Marketing. Among his the secondment of our Deputy CEO, in charge previous stints, Mr Chua senior staff.” of Physical Planning and headed EDB’s office at the Building Development, with China-Singapore Suzhou Mr Ho Tong Yen, CEO of effect from 1 April 2011. Industrial Park, served in SSTEC, also commented, Ms Tang was formerly the Commercial Section at “Both Deputy CEOs are Director (Aerospace, Marine the Singapore Embassy in members of the ‘Suzhou and CleanTech Cluster) of Beijing, and in Dalian as Alumni’ and bring with JTC Corporation. She has the Regional Director for them years of experience in 30 years of experience in IE Singapore’s operations their respective fields.”

Ms Tang Wai Yee both the public and private in the Northeastern and sectors, including serving in Northwestern China region. Noting that many other the China-Singapore Suzhou Singapore government Industrial Park, where she The two appointments agencies have seconded was Senior GM (Residential reflect the strong support officials to the Eco-City Development) and Board for the SSTEC project by the project, Mr Ho added, Secretary. Singapore Government and “Together with other its agencies. CEO of JTC, Singaporean staff, these Mr Chua Kay Chuan, currently Mr Manohar Khiatani said, officials have helped to Group Director (China) of IE “The Tianjin Eco-City project bring the Singapore DNA Singapore, will join SSTEC in is key for Singapore and, as to the Tianjin Eco-City June 2011 as Deputy CEO, in the industrial infrastructure project.” charge of Strategic Planning, specialist in Singapore, JTC is Economic Promotion, glad to be able to support this Mr Chua Kay Chuan

Keppelite I April 2011 Sustaining Growth 27

Renewing ties with Sichuan

The emphasis will be on high-tech, low-carbon industries.

To further grow Keppel’s presence in Sichuan, Dr Lee shared that the Group would like to explore opportunities in infrastructure, waste and wastewater treatment in the province.

Since its first foray into Sichuan, the Group has developed residential Dr Lee Boon Yang, Chairman senior management from Hi-Tech Innovation Park projects such as The of Keppel Corporation, called across the Keppel Group. (SSHIP) into a showcase of Waterfront and The Botanica, on Mr Liu Qibao, Secretary Sino-Singapore cooperation and provided technology for of the Communist Party of At the meeting, Party in western China. a Waste-to-Energy plant China Sichuan Provincial Secretary Liu expressed in Chengdu. The Group is Committee (extreme right), his wish to strengthen Keppel is part of the currently developing another in Chengdu on 25 March cooperative links between Singapore consortium for two residential projects in

2011, renewing their Sichuan Province and Keppel. SSHIP, which aims to integrate Chengdu. keppelite friendship since their last He hopes to leverage Keppel’s the modern manufacturing meeting in Singapore in international networks to and services industries with 2010. Also present were build the Singapore-Sichuan a quality living environment.

Taking a NEW look

The Permanent Secretary The guests were hosted by for the Ministry of the Chairman Mr Tong Chong Environment and Water Heong and CEO BG (NS) Resources (MEWR), LG Tay Lim Heng of Keppel (NS) Desmond Kuek, Integrated Engineering accompanied by a delegation (KIE). The delegation was of officials from MEWR, briefed on KIE’s suite of PUB and the Economic capabilities, its progress on Development Board, was ongoing projects, as well as introduced to Keppel Seghers’ other developments in the

Ulu Pandan NEWater Plant pipeline. keppelite on 29 March 2011. The Permanent Secretary for MEWR, LG (NS) Desmond Kuek (third from right), being introduced to the Keppel Seghers Ulu Pandan NEWater Plant

Keppelite I April 2011 28 Sustaining Growth

Pioneering green data centres

Data centres can consume and engages its stakeholders up to 40 times more energy in implementing the best This SS564 certification shows our than conventional office operating practices. commitment to provide environmentally buildings due to the high power needed to support For its steadfast efforts to friendly and cost efficient services to IT equipment and cooling provide eco-friendly and our clients. We will continue making mechanisms. energy-efficient services to efforts to ‘green’ our data centres to clients, Keppel Datahub, ensure that our business is conducted Together with network a data centre owned and in an environmentally responsible equipment, they account managed by Keppel T&T in and sustainable way. for almost 32% of the Tampines, received a ‘green’ Mr Bruno Lopez entire Information and stamp of approval from the CEO of Data Centre Division Communication Technology Infocomm Development Keppel T&T sector’s energy and carbon Authority of Singapore (IDA) footprint, according to in April. the Organisation for On top of meeting the SS564 the overall efficiency of Economic Co-operation and Keppel T&T was among requirements, Keppel T&T Keppel Datahub’s cooling Development. seven pioneering data centre looks into further details system has been significantly operators to successfully such as the design of chilled raised. To balance its customers’ achieve the new SS564 water pipes used in the needs with environment certification. The SS564 is cooling systems at Keppel Such green efforts are also conservation, Keppel a new industry standard in Datahub. mirrored at Citadel 100, Telecommunications & Singapore that aims to provide Keppel T&T’s data centre Transportation (Keppel T&T) a framework for data centres to By adopting an angular in Dublin, Ireland. This takes a holistic approach in achieve energy efficiency and design for its pipes, which data centre had recently designing its data centres, continuous improvements. promotes better water flow, collaborated with Dublin City University to jointly research and develop a technology to predict heat build-up and allocate cooling with high accuracy.

Since 2009, Citadel 100 had switched to use green electricity, which now accounts for 70% of its power consumption. This has reduced greenhouse gas emissions by almost 30,000 tonnes per annum for the data centre, and is equivalent to taking 5,500

cars off the road. keppelite

RADM (NS) Ronnie Tay, CEO of IDA, presenting the new Singapore Standard for green data centres, SS564, to Mr Bruno Lopez, CEO of Data Centre Division, Keppel T&T

Keppelite I April 2011 Sustaining Growth 29

Keppel T&T welcomes SGX

The Singapore Exchange’s the industry. It was for this Hailed as having the fastest uses the latest cooling and (SGX) new data centre reason that Keppel T&T was trading system in the world, power systems to achieve at a facility owned and entrusted by SGX to support the SGX data centre is also high energy efficiency. keppelite managed by Keppel its needs as the leading stock one of the ‘greenest’ as it Telecommunications & exchange in Asia Pacific. Transportation (Keppel T&T) was officially opened Under the agreement, SGX’s on 11 April 2011, officiated data centre will reside in by Minister for Information, Keppel T&T’s premise for Communications and the seven years, and is licensed Arts, Mr Lui Tuck Yew. to use its supporting facilities. The new data Equipped with cutting- centre will house SGX’s edge technology as well trading, market data and as 24/7 support and clearing infrastructure, as network monitoring, well as a new securities Keppel T&T’s data centre trading engine, which aims facilities provide one of the to boost trading speed and highest levels of reliability enhance connectivity with SGX’s new data centre is housed in Keppel T&T’s data centre facility which is equipped with and network availability in global financial markets. cutting-edge technology and 24/7 support and network monitoring

Green logistics

On 16 March 2011, Nanhai Distribution Centre was graced by a visit from Keppel Corporation’s senior management, namely CEO Mr Choo Chiau Beng, Senior ED and Group Finance Director Mr Teo Soon Hoe and GM of Group Corporate Communications, Ms Wang Look Fung. Signaling their commitment and full support for eco-conservation, the management planted a tree which adds to the greenery of the distribution centre.

keppelite

Senior management from Keppel Corporation and Keppel Logistics pledge their green commitment during a tree planting ceremony at the new Nanhai Distribution Centre

Keppelite I April 2011 30 Sustaining Growth

Distinctively Keppel

ERS 2010 OLDERS 2010 REHOLDERS 2010 HOLDERS 2010

REPORT TO SHA REPORT TO STAKEH REPORT TO SHAREHOLD REPORT TO SHARE

Building Strengths Building Strengths Building Strengths Building Strengths ning Distinction Maximising Value ning Distinction Empowering People ning Distinction ning Distinction Enriching Lives De Harnessing Synergy De Advancing Innovation Defi Investing in Quality Defi Distinguishing Quality Powering Excellence Perfecting Execution Growing Networks Sustaining Value

The Keppel Group annual reports are reader-friendly, featuring comprehensive and pertinent information supported by photographs, charts and graphs

Amidst a challenging year Keppel Corporation’s annual To illustrate how the assets and commitment to in 2010, the Keppel Group report. Group continues to create adopt eco-friendly business turned in yet another set of sustainable value for its practices, K-Green Trust, a record performance. “We will refine our strategies stakeholders over the long newly-listed infrastructure in our business units, term, a special feature entitled trust set up by Keppel While the Group has done building on their strengths “Creating Value through Integrated Engineering, well in the last decade, we and extending their value Innovation” is included in produced its first annual are mindful that in order to propositions. At the same the Keppel Corporation report in CD-ROM format. exceed our past record, we time, we will further grow annual report. The feature will need to work harder cross business unit synergies highlights the Group’s focus Several of our business to build on our strengths and capabilities,” added and competitive edge in units, such as Keppel and differentiate ourselves Mr Choo Chiau Beng in the technology innovation, which Telecommunications and in the market. The theme, Interview with the CEO in has enabled Keppel to deliver Transportation (Keppel T&T) Building Strengths, Defining the report. products and solutions to and K-REIT Asia have also Distinction, is thus apt for the meet customers’ needs. adopted the CD-ROM format Keppel Group’s 2010 annual The annual report is a key for their latest annual reports, reports. platform in our investor Another insightful report is with more Keppel companies relations efforts, which are found in the Keppel Land planning to follow suit. “Our robust business strategy, guided by the principle of report where a discussion diversified businesses and achieving best practices is featured on the outlook A deep understanding of core competencies put us in corporate governance of Singapore’s office market our shareholders’ concerns in a strong position to seize and disclosure. To further and how the company is and the desire to meet their opportunities and capture reinforce the Group’s identity positioning itself to ride the information needs drives us value wherever there is and collective strength, upturn, leveraging its quality to continually improve the economic growth and pickup common themes and a portfolio and track record. content and presentation of in demand,” remarked consistent design concept are the Group’s annual reports.

Dr Lee Boon Yang in the adapted across our annual In line with its mandate to keppelite Chairman’s Statement of reports each year. invest in ‘green’ infrastructure

Keppelite I April 2011 Sustaining Growth 31

Celebrating partnerships

Keppel Seghers, the environmental technology division of Keppel Integrated Engineering, was recently lauded by Mr Kris Peeters, Minister-President of Flanders, Belgium, as a prime example of Belgium’s entrepreneurial spirit and strengths in technology innovation and engineering.

Addressing some 70 distinguished guests at an evening reception hosted by Keppel Seghers at the prestigious City Hall of Antwerp, he added that the company was expanding the possibilities of sustainable Deepening partnerships: (from right) Mr Ivan Christiaens, GM of Keppel Seghers Belgium, briefing Mr Kris Peeters, Minister-President of economic growth in Belgium Flanders, Belgium; Mr Richard Turner, Director of WTE and Mr Chris Cooke, Director of Strategic Development, from Viridor and overseas through its expertise and knowhow. plant will be one of the With an established largest waste and renewable We have been in discussions with global track record, energy projects in the UK Keppel Seghers since 1999. We have Keppel Seghers’ advanced when completed. always felt they have a very strong technology and solutions are technical ability in waste, particularly helping municipalities and In celebration of the companies around the world deepening partnership with in the waste to energy field, backed address a wide spectrum of Viridor, Keppel Seghers up by years of experience in Europe. environmental issues from hosted the occasion as Mr Richard Turner waste to wastewater. a platform to express its Director WTE, Viridor appreciation to its customers, Keppel Seghers’ latest partners and associates. The milestone includes securing function was co-hosted by from Viridor Waste the Vice Mayor of Antwerp Keppel Seghers’ waste contract for Runcorn was Management Limited and Chairman of the Board management technology let on a turnkey basis, (Viridor) the contract for the of ISVAG, Mr Philip Heylen. and EPC capabilities. With which demonstrates Keppel second phase of the Runcorn our accumulated experience Seghers’ expanding ability to Energy from Waste (EfW) Mr Ivan Christiaens, GM of globally, we will continue to deliver a complete package Combined Heat & Power Keppel Seghers Belgium, said, build solutions for a cleaner in accordance to client

(CHP) plant at Weston Point, “We are happy to deepen future.” requirements.” keppelite Runcorn, Cheshire. Together our partnership with Viridor with the first phase which through the Runcorn EfW Mr Richard Turner, Director it is already executing, the CHP contracts, which affirms of WTE, Viridor, said, “The

Keppelite I April 2011 32 Sustaining Growth

Our cup of tea in Chengdu Ang Lai Lee, Senior Manager from Group Corporate Communications, gets a taste of Chengdu while attending the Keppel Corporation offsite strategy meeting held there from 24 – 25 March 2011.

An unknown author wrote, 2010, US business magazine, digit expansion of 15% for the transformation first- “Tea is a cup of life”. That Forbes ranked it as the one of 2010. hand. became crystal clear to the top ten fastest growing me in Chengdu where the cities in the world for the Chengdu is also representative Chengdu was thus the pleasurable habit of tea next decade. of the phenomenon of perfect backdrop for drinking belies the thriving the new Asian city – an Keppel Corporation’s offsite economy and bustling A beneficiary of the “Go- emerging middle class with strategy meeting, involving lifestyle in one of the most West” policy initiated by a global outlook, higher Keppel Corporation’s Board liveable cities in China. the Chinese government, purchasing power and more of Directors and senior Chengdu, as Sichuan sophisticated lifestyle. It management from across In 2006, China Daily ranked province’s capital, has seen is one thing learning that the Group. Chengdu as the fourth most rapid progress. It has been Chengdu’s urban disposable “liveable” city in China. In expanding at an average income per capita has On the back of a creditable 2009, Los Angeles Times, GDP growth of 12.6% risen by 11.7%, reaching 10-year Compounded called it China’s “Party City” annually from 1995 to RMB20,835 (US$3,130) Annual Growth Rate, or due to its large number of 2009. The city maintained its by the end of 2010. And CAGR of 20% in net profits, bars and tea houses. In acceleration with a double- it is another experiencing the Group discussed how to

Keppelite I April 2011 Sustaining Growth 33

sustain Keppel’s competitive Chengdu’s financial street, Integrated Engineering is fresh delectable sashimi. edge in an increasingly with its shopping streets, providing technology for Then at Kuan Zhai Xiang Zi complex market. Members metro station and renowned a waste-to-energy plant in (宽窄巷子), which is a series of the Board engaged in schools. The proposed Chengdu. Keppel is also of pedestrian alleys that robust discussions with development is envisioned part of a Temasek Holdings- fused restored traditional senior management and to provide about 1,630 high- initiated consortium which architecture with restaurants, mapped out the Group’s rise apartments. will soon begin a feasibility teahouses, cafes, and shops, strategy forward. study for an innovation park we were dazzled by a jazz Keppel Land China’s other with the Chengdu High-Tech bar offering over 30 choices The programme for the acquisition in Chengdu is Zone Investment Group. of European beers. conference also included for two separate sites with visits to The Waterfront, a a combined land area of It was my first visit to Indeed, there was no need 1,143-unit condominium 25-ha, located along the Chengdu. As a typical food- for me to look at the tea development, which has same street in Mumashan crazed Singaporean, I was leaves in the cup to predict been fully sold and The (牧马山), Xinjin County determined to experience how Chengdu will grow Botanica township, which (新津县). The sites are in the best of Sichuan cuisine formidably and the part it has successfully sold more close proximity to the Tianfu and all that Chengdu can will play in Keppel’s growth than 6,300 units over five New City, which is poised offer in half a day, while strategy for China. keppelite phases since 2005. to be Chengdu’s software waiting for my flight home. town and the future Central The Keppel delegation also Business District. The two sites The modern Sichuan cuisine visited Keppel Land China’s will be jointly marketed as a mirrored the vibrancy and newly acquired site in the 250-unit villa development. the increasing sophistication Jingjiang District which is in of the city. Alongside Mapo close proximity to Dongdajie, Apart from property, Keppel Tofu, we were also served

Keppelite I April 2011 34 Sustaining Growth

Solid showcase

The DSWMC will handle and treat domestic solid waste for the whole of Qatar

Nearing completion, the Saudi Arabia, from 12 to discuss best practices and will be able to treat 2,300 Domestic Solid Waste 15 March 2011. leading-edge environmental tonnes of domestic solid Management Centre projects. waste per day, serving the (DSWMC) in Doha, Qatar, As the Middle East’s first waste treatment needs of built by Keppel Integrated integrated solid waste Keppel Seghers, the the whole of Qatar. This Engineering (KIE), took pride treatment facility, the environmental engineering facility is also equipped with of place at the Sixth GCC DSWMC drew the attention arm of KIE, will operate the a compost plant to treat

(Gulf Co-operation Council) of government officials, waste management facility organic waste. keppelite Municipal Work Conference experts, researchers and for 20 years. When fully held in the city of Riyadh, specialists who convened to operational, the DSWMC Garden for retail therapy

Among 150 retailers at the drew over 2,000 people, arcade are renowned local comprising township furniture brand, Diamond residents and visitors. Furniture, restaurant chain Warung Sakura, as well The newly opened market as the popular chocolate and shopping arcade form bakery Eclairs Pattisier & part of the 270-ha integrated Chocolatier. township comprising 7,000 homes and an array of

Thousands of residents and visitor thronged Jakarta Garden City’s modern market for the Adding to the action, the other amenities such as INBOX Music Festival modern market recently shop houses, entertainment hosted the live INBOX centres, offices, schools and

Jakarta Garden City, an a modern market and Music Festival featuring hospitals. keppelite eco-township by Keppel shopping arcade, opened an impressive line-up of Land, was hyped with activity with near full occupancy on famous Indonesian singers when its retail components, 26 March 2011. and performers. The festival

Keppelite I April 2011 Sustaining Growth 35

Bay full of attractions

(Photo courtesy of John Heng)

Marina Bay is set to come alive during Singapore’s first city sailing race, BAY Challenge, from 14-15 May 2011

As the wave of interest in powerboats and luxury is expected to draw some Corporation and Chairman sailing and luxury waterfront lifestyle products. The 10,000 spectators from of Keppel Land. living continues its ascent, growing interest in luxury 14 to 15 May 2011. our premier developments at yachting lifestyle has also Beyond the sailing fraternity, Keppel Bay and Marina Bay given rise to an additional “Keppel is committed Keppel Bay has also carved remain among Singapore’s venue for the show at the to continue defining its name in varied circles as hottest event destinations Promontory@Marina Bay, Singapore’s city skyline a coveted venue for events with their convenient location in front of the Marina Bay with premier landmark and functions. Recently in and stunning sea views. Financial Centre (MBFC). developments such as April, Reflections at Keppel MBFC, One Raffles Quay Bay’s show gallery hosted For the fourth year running, Held in conjunction with and Ocean Financial Centre. the fashion industry’s most Marina at Keppel Bay will Boat Asia is Singapore’s As supporting sponsor anticipated event of the year, play host to Asia’s largest and first-ever city sailing race, of BAY Challenge and the Gucci Spring Summer most prestigious boat show, where 16 regional teams partner of Boat Asia, we 2011 fashion show. Over 600 Boat Asia, which will be held will compete for the BAY are delighted to showcase of Singapore’s well-heeled from 12 to 15 May 2011. Challenge trophy. Set against these world-class projects mingled over cocktails and Marina Bay’s spectacular that position Singapore as catwalked over the spacious Boat Asia will showcase skyline of Marina Bay Sands, a coveted live-work-play grounds of the stunning a stellar line-up of sailing The ArtsScience Museum destination,” said Mr Choo show gallery. keppelite and superyachts, gleaming and MBFC, BAY Challenge Chiau Beng, CEO of Keppel

Keppelite I April 2011 36 Empowering Lives Lives

Developing mentors

To share and retain knowledge and uphold core values throughout the Group, Keppel’s mentoring programme attaches mentors to new hires to help the latter adjust and better assimilate into the Company’s environment and culture.

Organised for the fifth time, the Mentoring@Keppel workshop held on 13 April 2011 aims to equip mentors with sound skills to fulfil their role.

Attendees were inducted Mentors across the Keppel Group benefitted from the coaching session organised by Keppel College on the objectives and scope of the mentoring programme, mentees,” shared Terry as well as the benefits of Wong, Senior Project Atop of wealth & health mentoring. Manager, Keppel Shipyard. Financial planning – how life, the session also Various methods and Lim Xuehui, Executive, much is enough? Keppelites addressed different aspects processes for engaging Group HR, added, “Through had their questions relating to insurance and mentees and encouraging this workshop, mentors are about personal financial premiums. openness and mutual better guided in helping planning demystified at trust were imparted to the new hires assimilate into a talk recently organised Lanis Liow, HR & mentors. Role-playing was Keppel’s culture. Besides by Keppel Corporation’s Administrative Executive also employed to coach the providing a listening ear, Group HR with IPP Financial at Keppel Energy, enjoyed mentors on communication it is also important to use Advisers. the session, sharing, “As skills and questioning our hearts to hear, respect, a young executive, I find techniques. observe and care for our The talk offered invaluable the talk very enlightening mentees.” advice and tips on as it highlights the “The workshop was very planning for financial importance of planning my informative and engaging. To date, more than 230 independence, and the finances early and setting I feel that I am in a better mentors have attended current healthcare and aside enough money position now to share my and benefitted from the Medisave structures for my retirement. This experiences and guide my workshop. keppelite in Singapore. Raising is something which my awareness of the friends and I did not think importance of financial about in the past, but planning across the thankfully it is not too late different stages of one’s for us to start now.”

Keppelite I April 2011 Empowering Lives 37

Sea-bound Singaporeans

I am confident that training at KBSA has prepared me both mentally and physically for what to expect during the race. Ke Peiyi, Trainee at KBSA

conditions was definitely Indeed, Darryl’s skills will challenging for me as a come in handy when beginner. Although I’m an catering to over a dozen avid sportsperson, training hungry sailors on the race. for the Clipper Race was one experience that can only be All set for the race, Casey Ho, topped by participating in a regional training manager the race itself. I am confident who completed his training that training at KBSA has earlier in the year, said eagerly, prepared me both mentally “I decided to join the Clipper and physically for what to Race because I wanted to expect during the race.” do something out of my daily routine and immerse

Doing Singapore proud, (from right) Ke Peiyi and Darryl Tai undergo rigorous training with Meanwhile, the rigorous myself in an adventure, Lynnette Leong, Vice-Principal and Chief Instructor, KBSA and fellow student, Eric Kripler from training at KBSA has turned which requires me to pick Western Australia Keppel Ambassador Darryl up different skill sets and Tai into a skilled naval cook. work with people in a totally With the Clipper 11-12 has been hard at work To him, running the galley different environment. Round the World Yacht gearing up for the race. onboard was one of the most Race just round the corner, interesting and challenging “Clipper training at KBSA many aspiring sailors from “Training has been incredible. activities during training. has certainly fulfilled all these all over have chosen to enrol We sailed to Batam on our in preparing me for a journey for training at Keppel Bay very first day, which was “We need to stabilise that I am certain will surpass Sailing Academy (KBSA) at something I did not expect. It ourselves, the cooking my wildest imaginations.” Marina at Keppel Bay. This was exhilarating and we had utensils, as well as the issue, Keppelite speaks to great hands-on experience,” ingredients all at the same KBSA is Singapore’s only some Singaporeans on their she shared. time. The trick is to use the Royal Yachting Association- preparations for the race. optimum amount of water accredited training facility Ke Peiyi, a financial services so as not to waste the limited and the only Clipper- Keppel Ambassador Celina manager, who joined Celina supply and more importantly, recognised training centre

Chan who undertook her for the Level 2 Clipper to make sure the food outside the UK. keppelite Levels 1 and 2 training from training, added, “Learning doesn’t get overturned,” he 30 March to 13 April 2011 how to sail in various wind quipped.

Keppelite I April 2011 38 Empowering Lives

Keppelites Abroad Wasting no opportunities

Doing as his neighbours did the financial strength and The overseas experience To this, William quotes the got Mr William Foo into a reputation of Keppel,” has also proved enriching Chinese saying, that you little trouble when he first he said. on the personal front. He learn more from travelling arrived in Belgium in 2009. shared, “I am impressed ten thousand miles than The Keppel Seghers Group’s with how tight the Belgian reading ten thousand books. Like his neighbours, William advanced technology family unit is. Belgians work His advice to Keppelites left his garbage bag on solutions address a wide hard, but more importantly, seeking to work overseas the kerb for collection. spectrum of environmental they work smart and prioritise is to grab the opportunity However, as he had done issues such as solid waste, spending quality time with and learn as much as

so on the wrong waste wastewater, drinking and their families. I think this is they can. keppelite collection day, he got an process water, bio-solids something Singaporeans can earful from a complaining and sludge. learn from.” neighbor that day. Responsible for overseeing The experience was the financial aspects of certainly an amusing Keppel Seghers Belgium’s anecdote about learning operations and its subsidiaries, to live in a new city. It had including UK and Germany, also shown William that William’s global exposure civic-minded attitudes and has broadened his horizons. behaviours towards proper waste management were “I learn something new widespread in Belgium. every day. Keppel Seghers has projects and business This was interesting for opportunities all over the him even more so at a world. Understanding the professional level. As CFO of intricacies of local conditions, Keppel Seghers Belgium, the laws and practices is environmental technology challenging but highly arm of Keppel Integrated enjoyable,” he shared. Engineering (KIE), waste is his business. The global nature of the job fits well with William “There is no doubt that and his wife’s penchant Keppel Seghers Belgium is for travelling. He said, in the right business. The “We love travelling and growing focus on clean Belgium’s being in the renewable energy and centre of Europe allows us our strategic position in to do that. On weekends, we this market means we can take short drives to nearby utilise our technical expertise cities to soak in the A colourful posting – Outside work, William takes time out with his wife, Hui Sing, to visit and experience, backed by atmosphere.” Keukenhof, the world’s largest flower garden in the Netherlands

Keppelite I April 2011 Nurturing Nurturing Communities Communities 39

Bonding kakis young & old

Arts Kakis and Keppel Volunteers learn how life was like for Singapore’s early migrants

30 senior citizens from the Centre. Instead of leading the for me as I learnt about Communications and the King George’s Avenue Seniors tour, the young befrienders the hardships of the early Arts in August 2010 as Activity Centre were taken were now guided by the settlers. Thanks to this trip, an enhancement to the on a trip down memory lane elderly folk who recounted I have become very grateful Keppel Nights scheme. This by Arts Kaki, Ms Loh Wei the good old days from for their contributions and programme encourages arts Chin, her friends and eight memories triggered by the sacrifices that have made enthusiasts to share the Keppel Volunteers. exhibits. Singapore what it is today.” benefits of Keppel Nights with youths, senior citizens However, a surprise awaited Keppel Volunteer Chappidi The Arts Kakis programme and the under privileged. the young Arts Kakis and Pattabhi Narasimharao, was launched by keppelite Keppel Volunteers as Mentor Superintendent, Keppel Corporation in they entered the realm of Keppel FELS, said, “It was partnership with the Chinatown and its Heritage a very moving experience Ministry of Information, Shanghai surprise

Over 10,000 Singaporeans Security, Mr Wong Kan Seng, live and work in the Shanghai the event was created for metropolis. To help them stay Singaporeans in China to connected to home, Keppel relive shared experiences and was one of the sponsors re-connect with each other. of Singapore Day 2011, organised by the Prime A private reception was also Minister’s Office at Century held on the same evening Park on 16 April 2011. to acknowledge the support of community leaders Graced by Deputy Prime and corporate partners in Minister and Coordinating Shanghai of which Keppel

Minister for National Land is one. keppelite Keppel was a sponsor of Singapore Day in Shanghai, an event for Singaporeans in China to relive shared experiences and re-connect with each other

Keppelite I April 2011 40 Nurturing Communities

Rallying for Mother Earth In April, Keppel Group companies rallied together to do their part for the environment, pledging support for the global initiatives, Earth Hour and Earth Day.

Students from the Singapore Polytechnic and staff from Keppel Housing helped Keppel’s foreign workers better understand the objectives of Earth Hour

Lights out all lights in its offices and Teck accommodation lodges switched off facade flood Keppel’s business units in open-air car parks. Eco- joined in the dimming of lights and lightings at lift Singapore and abroad kept friendly tips were also lights. Collectively, these lobbies, corridors, toilets and vigil on 26 March 2011, from disseminated through dormitories saved 504 car parks. 8.30pm to 9.30pm, in accord electronic memos and kilowatts of energy during with Earth Hour, an initiative posters to spread the green Earth Hour. Earth Hour notices were also by the World Wildlife Fund. message. prominently displayed at the At Keppel Land, over 32 lift lobbies and along the Keppel Offshore & Marine’s Meanwhile, its foreign commercial and residential exteriors of Keppel Land’s yards in Singapore and the workers residing at the properties, as well as hotel residential and commercial Philippines switched off Acacia, Juniper and Kian developments across Asia, buildings to encourage

Keppelite I April 2011 Nurturing Communities 41

residents and tenants to donated to beneficiaries Singaporeans to reduce their green initiatives and we join in the efforts. of the Spastic Children’s carbon footprint through believe collective efforts Association and the Tana recycling their books.” such as this Book Exchange Keppel Logistics’ offices and River Life Foundation, who programme by the NLB warehouses in Singapore in turn exchanged these for Mr Ang Yuh Yaw, HSSE and Keppel Land will and China, as well as the other used books at NLB. and Property Manager for further raise awareness of Keppel Seghers Ulu Pandan BP Singapore, a tenant in the need to safeguard our

NEWater Plant joined in Ms Serena Toh, DGM of Keppel Bay Tower, said, environment.” keppelite Group efforts by switching Investor Relations & “BP Singapore supports off non-essential lightings at Research, Keppel Land, said, their premises. “Keppel Land believes in promoting environment As part of its outreach sustainability. Our support programme, the Keppel towards the NLB’s Book Through this NLB Book Exchange, Volunteers brought Exchange programme is we hope to promote a reading students from the Centre part of our initiatives to culture in Singapore and encourage for Adults to participate in engage stakeholders on Singaporeans to reduce their the Earth Hour Party held our journey as a green carbon footprint through at The Promontory@ developer. recycling their books. Marina Bay. They were joined by some 40 Keppel “Through this effort, we hope Ms Serena Toh DGM of Investor Relations & Research Land staff and their family to promote a reading culture Keppel Land members in the 3.5-km in Singapore and encourage Earth Hour Night Walk at Marina Bay.

Recycling books In conjunction with Earth Day on 22 April, Keppel Land sponsored the National Library Board’s (NLB) Book Exchange 2011, which saw book lovers do their bit for the environment by exchanging their used books with others’.

Employees and tenants were also encouraged to drop off their used books at designated collection points at eight of Keppel Land’s office properties on 13 April 2011.

Close to 1,500 used books were collected from the exercise. Every book accepted was exchanged Keppel Land hopes to promote a reading culture in Singapore and encourage Singaporeans to be more environmentally friendly by recycling for book coupons and their used books

Keppelite I April 2011 42 Nurturing Communities

Relaying hope

Running for life was what American culture. During the 40 Keppelites from Keppel opening ceremony, the girls AmFELS did at a national shared about their battle campaign organised by the with the illness, and ran the American Cancer Society to first lap around the track in celebrate cancer survivors and their Quinceanera costumes raise funds for research. along with other cancer survivors. Keppel AmFELS has been participating in the Relay Leading Keppel AmFELS’ for Life event along with the contingent was Jesus Garza, community, organisations, a safety inspector, who is students and cancer survivors himself a cancer survivor. since 2002. “Cancer has changed my Aptly themed “Quinceanera”, life. Having been a patient this year’s relay was held in myself, I want to help others honour of teenage cancer suffering from the disease survivors Mandy and Valeria. and make a difference in Jesus Garza (in purple), a Keppelite cancer survivor, leads Keppel AmFELS’ contingent in the Quinceanera marks a girl’s the fight against cancer,” Relay for Life coming of age at 15 in Latin he shared. keppelite Painting smiles

With a dash of white Putting her work skills to and a splash of green, 20 good use, Clelia Dias from Keppelites from the BrasFELS BrasFELS’ painting section yard decorated the faces was quick to lend a hand by of elderly folk with smiles, guiding her less experienced as they gave a fresh coat fellow volunteers on how of paint to the walls of the to do a good paint job. “All O Bem Querer A Casa Do the time and effort spent Idoso old age home in was worthwhile, especially Japuiba, Angra dos Reis. when you see how such a simple gesture brings joy to Armed with brushes in their the elderly,” she said. hands and a determination to add colour to the lives of The painting project was Volunteers from BrasFELS gave a fresh makeover to the O Bem Querer A Casa Do Idoso old age home the elderly, the volunteers completed in two days. As also roped in suppliers the saying goes, many hands such as Extraquadro, which make light work. Clelia and forward and offer their community outreach activities contributed 13 tins of paint her colleagues hope that time and skills for the next championed by BrasFELS.

to the cause. more Keppelites will step Voluntarios Program, a series of keppelite

Keppelite I April 2011 Nurturing Communities 43

Holiday makeover

While many students and their families have locked in vacation plans for the upcoming June holidays, several of our Volunteers will be going back to school.

These gallant Keppelites have blocked their schedules to help renovate the Admissions and Review Room at Chaoyang School under Keppel’s adopted charity, the Association for Persons with Special Needs (APSN).

To prepare for the holiday makeover, Keppel Volunteers visited Chaoyang School on 8 April 2011, to assess the Beyond providing financial support, Keppel seeks to understand and identify the needs of our adopted charity scale of the project and refurbishing needs. The child will be in good hands the students’ behaviour. and vocational training, Volunteers will join APSN and learn in a conducive It is heart-warming to see equipping them with core students and teachers to environment.” how keen the students are life skills. clean, paint and decorate in learning as they try to the room, with the support Refurbishment work will overcome their shyness Volunteers needed! of Keppel FMO. include tiling the floor, and be responsive to the Due to its low teacher-to- painting and decorating questions posed by the student ratio, Chaoyang Grateful for Keppel the walls and ceiling, as well teachers,” said Keppel School needs help from Volunteers’ assistance, as creating a reading cum Volunteer Xu Youqing volunteers to facilitate the Jennifer Lee, Community artwork display corner. from Keppel Energy, who Life Skills Camp and coach Partnerships Executive of organised the visit. students in reading and APSN said, “The Admissions The Volunteers also took numeracy. and Review Room was the opportunity during Chaoyang School caters converted from a classroom their visit to learn more to children aged 7 to 12 Volunteers are also back in 2006 with few about Chaoyang School, years with mild intellectual needed to facilitate social furniture and decorations. its operations, facilities and disabilities. It also runs a competencies activities such With the help of the Keppel teaching methods. before and after school as road safety and grocery Volunteers, we can inject life care services for current and shopping, among others. and colour into the room. “We were impressed with former students. the operations of the For more details email “A vibrant room sets a good school and the volunteers The School helps to prepare Keppel.Volunteers@ first impression for parents, are now better equipped special needs children kepcorp.com. keppelite reassuring them that their with an understanding of for further education

Keppelite I April 2011 BackPage 44

Jasper orders second US$180m jackup

On 3 April 2011, Jasper Similar to its first jackup rig, Investments Limited (Jasper) Jasper’s latest unit will be able exercised its option with to operate in water depths of Keppel FELS to build a second 400 feet (ft), drill 30,000-ft KFELS B Class jackup rig at deep and accommodate US$180 million for delivery 150 men. in 1H 2013. Mr Geoffrey Yeoh, ED of The single-rig option was Jasper, said, “With rapidly given to Jasper when the increasing demand in the customer ordered its first market for safer and more jackup from Keppel FELS in capable rigs, this is the December 2010. opportune time to expand our fleet and increase our Mr Wong Kok Seng, MD of solutions for the offshore Keppel FELS, said, “Including industry. this latest contract from Jasper, we have secured 17 “We are pleased to be able jackup rigs since November to build another rig to the last year. Of these, 14 are highly-rated KFELS B Class proprietary Keppel designs design with Keppel FELS. including ten KFELS B and Teaming up with the world’s Super B Class rigs. leading rig designer and builder enables us to offer “We are pleased that reliable, safe and high quality Jasper has reaffirmed products to meet the most its confidence in our stringent requirements of proprietary technology the market. and execution expertise by exercising the option “Building our first KFELS B for a second KFELS B Class Class rigs at Keppel FELS is jackup rig. We look forward an important step for Jasper to deliver both its world in growing our presence in class rigs safely, on time and the offshore drilling market.”

within budget.” keppelite

Including this latest contract from Jasper, we have secured 17 jackup rigs since November last year. Of these, 14 are proprietary Keppel designs including ten KFELS B and Super B Class rigs. Mr Wong Kok Seng Keppel FELS has secured orders for ten KFELS B and Super B Class rigs in the past six months MD Keppel FELS Printed on recycled paper Printed on recycled

Keppelite I April 2011