SBM Offshore awarded contracts for Exxon’s second Liza FPSO

SBM Offshore has announced that ExxonMobil subsidiary Esso Exploration and Production Guyana Limited (EEPGL) has awarded the company contracts to perform front end engineering and design (FEED) for a second floating production, storage and offloading vessel (FPSO) for the Liza development located in the Stabroek block in Guyana.

EEPGL is the operator of the Stabroek block with partners Hess Guyana Exploration Ltd. and CNOOC Nexen Petroleum Guyana Limited.

“We are pleased to report that ExxonMobil has selected SBM Offshore to award contracts for the second Liza FPSO, starting with the front-end engineering, for the development of the second phase of the world-class deep water development in Guyana.

The successful team work with our client ExxonMobil on the FPSO Liza Destiny project provided a solid foundation for this award. This project will be adding further traction to SBM Offshore’s Fast4Ward programme as its design is incorporating our multi-purpose hull and a number of standardized modules. We look forward to continuing to build on our close collaboration with ExxonMobil in order to also make this project a success,” SBM Offshore CEO Bruno Chabas, was quoted on the www.worldoil.com website, as saying.

According to the website www.worldoil.com, following FEED and subject to requisite government approvals, project sanction and an authorization to proceed with the next phase, SBM Offshore will construct, install and then lease and operate the FPSO for a period of up to two years, after which the FPSO ownership and operation will transfer to EEPGL.

The news bulletin on worldoil.com further stated that the second Liza FPSO design is based on SBM Offshore’s industry leading Fast4Ward programme as it incorporates the Company’s new build, multi-purpose hull combined with several standardized topsides modules. The FPSO will be designed to produce 220,000 barrels of per day, will have associated gas treatment capacity of 400 million cubic feet of gas and water injection capacity of 250,000 barrels of water per day. The FPSO will be spread moored in water depth of about 1,600 metres and will be able to store around two (2) million barrels.

With respect to FPSO Liza Destiny (Liza 1), progressing according to plan and currently under conversion in Singapore, discussions with the client are underway regarding a potential accelerated transfer of ownership using the purchase option in the 10 year lease contract, the news bulletin stated. The outcomes of these discussions are expected to lead to a transfer of the FPSO ownership and operation after a period of up to two years.

SBM is exploring options to maximize local content and Guyanese workforce development in preparation for the operating phase of both Liza FPSOs.

According to its website, www.sbmoffshore.com SBM Offshore provides floating production solutions to the offshore energy industry, over the full product life-cycle. The company leases floating production systems, with multiple units currently in operation, and has operational experience in this field. The company’s main activities are the design, supply, installation, operation and the life extension of Floating Production, Storage and Offloading (FPSO) vessels.

The Dutch-based global group of companies employ approximately 4,800 people worldwide, with full-time company employees of approximately 4,300 spread over eight locations, nine operational shore bases and the offshore fleet of vessels.

 

 

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