Firstly, a local presence enables them to meet local content requirements to bid for work for Indonesian projects.
Secondly, contractors have access to a workforce that is cheaper than in neighbouring Singapore, which can give them a competitive edge when vying for jobs with tight profit margins.
Batam Island is home to Indonesian subsidiaries of McDermott, SMOE and Nippon, while Italy’s Saipem has a yard on the nearby isle of Karimun.
McDermott,
