Petrobras will accept bids on 26 June from Modec, Teekay, BW and Bumi Armada for a 50,000bpd FPSO to run extended well tests at the giant Libra pre-salt area. Brazilian contractors are asked to team up with them. The Libra FPSO will be contracted for eight years, and is earmarked for delivery in 2016. Another FPSO for the Tartaruga Verde field will be chartered for a 20-year period, and is due to begin output in 2017.
Keppel Nantong Shipyard has been awarded a contract from Sofec for the fabrication of an external turret mooring system for a FPSO destined for the Tullow Oil-operated Tweneboa-Enyenra-Ntomme fields, off Ghana. The fabrication of the turret was expected to be completed in 1Q2015. Modec is building the FPSO while its sister company Sofec is responsible for the mooring system.
Mitsui Engineering & Shipbuilding (MES) is embarking on a fresh marketing drive to target the VLCC-to-FPSO conversion market in a strategic partnership with subsidiary Modec, which has largely operated independently of its parent in the past. Potential for the two pairing up is huge. Modec has listed 20 FPSO projects up for grabs around the world and focused mainly in Angola and Brazil. Modec is also bidding for two FLNG projects in Malaysia and Indonesia.
Modec’s turret mooring subsidiary Sofec is standing by to land at least one of two prestigious turnkey supply contracts linked to FLNG projects in Malaysia. Sofec may already have started provisional work on the turret system for the first FLNG vessel and is slightly ahead of SBM in a keenly-fought competition for the second one. SBM offshore is currently building three enormous turrets. Those $400m or $500m projects were turnkey sale contracts that did not require the company’s own capital.
Mitsui, MOL, and Marubeni will invest in Carioca MV27 BV, a Dutch FPSO owning company established by MODEC, which will proceed with the project jointly. MV27 has signed a 20-year chartering agreement with Petrobras and its partners. The vessel will be deployed in 3Q2016.
Brazilian operator Queiroz Galvao Exploration & Production (QGEP) will invite bids for Atlanta heavy oil FPSO in mid Dec. Modec, SBM, Teekay, BW Offshore and possibly Bumi Armada will be invited. Two bids need to be submitted by Feb/Mar 2014 with oil production capacity of 25,000-30,000 bbl/d and 80,000-100,000 bbl/d, respectively.
PetroVietnam has taken over as operator of the Song Doc oilfield in Block 46-02 after its two JV partners Talisman and Petronas withdrew. Agreement has been signed to continue leasing the field’s FPSO, which is operated by Modec.
FPSO Raroa returned Maari field after docking at New Zealand. Total cost $70m for changing swivel and other repairs will be covered through insurance. The FPSO was bought by OMV-Horizon Oil JV last year and operated by Modec.
Petrobras has signed a letter of intent with Modec for a 20-year lease of a large FPSO, providing lift-off for the Carioca pre-salt development. Day rate is said to be more than $700,000.
Three Japanese companies have agreed to take major stakes in a FPSO to be provided by Modec for Tullow Oil’s Tweneboa, Enyenra and Ntomme project off Ghana. Modec will own a 25% interest in the vessel. Its two sister companies — Mitsui & Co and Mitsui OSK will hold 30% and 20%, respectively. Marubeni will hold 25%. About $850m loan has been secured for the $1.23 bn conversion job.