SBM Offshore awarded contracts for ExxonMobil FPSO ONE GUYANA

SBM Offshore announced Esso Exploration and Production Guyana Limited (EEPGL), an affiliate of ExxonMobil, confirmed the award of contracts for the Yellowtail development project in the Stabroek Block in Guyana.

Under these contracts, SBM Offshore will construct, install, and then lease and operate the ONE GUYANA FPSO for a period of up to two years, after which the FPSO ownership and operation will transfer to EEPGL. The award follows completion of front-end engineering and design studies, receipt of requisite government approvals and the final investment decision on the project by ExxonMobil and block co-venturers.

The Yellowtail development is the fourth development within the Stabroek block, circa 200 kilometers (124 miles) offshore Guyana. EEPGL is the operator and holds a 45% interest in the Stabroek block, Hess Guyana Exploration Ltd. holds a 30% interest and CNOOC Petroleum Guyana Limited, a wholly-owned subsidiary of CNOOC Limited, holds a 25% interest.

The FPSO ONE GUYANA’s design is based on SBM Offshore’s industry leading Fast4Ward program that incorporates the Company’s new build, multi-purpose floater hull combined with several standardized topsides modules. The FPSO will be designed to produce 250,000 bpd, will have associated gas treatment capacity of 450 million cubic feet per day and water injection capacity of 300,000 bpd. The FPSO will be spread moored in water depth of about 1,800 meters and will be able to store about 2 million barrels of crude oil.

SBM Offshore is committed to work with Guyanese companies for work to be performed in Guyana and is preparing to further recruit and employ Guyanese engineers into the ONE GUYANA project team.

The turnkey phase of the project is executed by a special purpose company (SPC) established by SBM Offshore and McDermott. SBM Offshore holds 70% and McDermott holds 30% equity ownership in this SPC. The FPSO will be fully owned by SBM Offshore.