Contract for Xikomba FPSO Inked

SBM Offshore announced Wednesday on behalf of its Joint Venture companies with Sonangol, Sonasing and OPS that contracts for the twelve year charter and operation of FPSO Xikomba for the block 15/06 development, offshore Angola have been executed with ENI Angola SpA. This order had been previously announced under a Letter of Intent (LOI) on 15 April 2011.

The development plan involves relocation of the existing FPSO Xikomba, which has been operated under contract for ExxonMobil in Angola since 2003. The unit will undergo a major upgrade in order to meet the new project specific requirements. Part of that work will be performed in the PAENAL yard in Angola.

The investment required for the upgrade and relocation of the FPSO Xikomba will be comparable to a large FPSO conversion project.

First production from the FPSO is planned for 2014.

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