Yinson Wins $5.2B Petrobras FPSO Supply Gig

Yinson Wins $5.2B Petrobras FPSO Supply Gig
Petrobras has signed an LOI with Yinson for the chartering and provision of FPSO services for the Parque das Baleias Integrated Project, to be installed in the Jubarte field offshore Brazil.

Brazilian giant Petrobras has signed a letter of intent with Yinson for the chartering and provision of FPSO services for the Parque das Baleias Integrated Project, to be installed in the Jubarte field offshore Brazil.

The FPSO is scheduled to start production in the last quarter of 2024 and will be the new unit of the definitive system to be installed in the Jubarte field. The unit will have the capacity to process 100,000 barrels of oil and 5 million cubic meters of gas per day.

Petrobras said that the charter and service contracts would have a duration of 22 years and 6 months, counted from the final acceptance of the unit.

The project foresees the interconnection of 17 wells to the FPSO, nine of them oil producers and eight water injectors, through a subsea infrastructure composed of flexible pipelines, electro-hydraulic umbilicals, and wet X-mas trees.

The Jubarte field is located in the northern part of the Campos Basin. Petrobras delayed the Parque das Baleias project last autumn due to the Covid-19 pandemic.

The Parque das Baleias area is formed by the Jubarte, Baleia Anã, Cachalote, Caxaréu, Pirambú and Mangangá fields. The first field – Jubarte – was discovered in 2001.

In 2019, Petrobras and the National Agency of Petroleum, Natural Gas and Biofuels (ANP) agreed on the extension of the concession term until 2056 of the new unified Jubarte field, which makes it feasible to implement the new production system of the Parque das Baleias Integrated Project, in addition to complementary projects in the area.

Currently, four platforms are in operation there – the P-57, P-58, FPSO Cidade de Anchieta, and FPSO Capixaba, the latter scheduled to be in operation only until 2022.

In a separate release, Yinson said that the value of the deal with Petrobras was $5.2 billion and that the FPSO would be the company’s second vessel to operate in Brazil waters, with the first being FPSO Anna Nery – also set to work for Petrobras.

The FPSO Anna Nery is currently under construction in China and is on track to be operational in 2023 in the Marlim field in the Campos Basin.

Yinson Group CEO Lim Chern Yuan said that the Group was well-positioned to take on the Parque das Baleias FPSO project as it had successfully strengthened its resources, capacity, and expertise in Brazil over the past few years.

“Brazil is a region of paramount importance to Yinson, and we are committed to giving our very best to contribute to the advancement of the country’s energy industry. We are pleased that the efforts we have put into building our presence in Brazil have created synergies that will allow our Brazil-based projects to achieve greater efficiencies, creating greater value for all our stakeholders,” Lim added.

“The team has gained valuable skills and experience through our existing activities in Brazil and has also thus far been able to adapt and innovate to overcome the many challenges brought about by the pandemic and uncertain global economic situation,” Yinson Production Offshore CEO Flemming Grønnegaard stated.

“Yinson and Petrobras are committed to implementing a low emission design into [the new] FPSO towards mitigating the world’s climate change issues. Together, we are excited to pioneer some sustainable design concepts that we believe will pave the way for the industry to significantly reduce its environmental impact,” Flemming concluded.

To contact the author, email bojan.lepic@rigzone.com

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