SBM Offshore has secured a contract to procced with the Front End Engineering and Design (FEED) for a floating, production, storage and offloading (FPSO) vessel for ExxonMobil’s sixth project in the Stabroek Block.
Pending government approvals in Guyana, including the green light for the development plan and a final investment decision by ExxonMobil, SBM Offshore is poised to undertake the construction and installation of the FPSO. The awarding of the FEED contract has initiated the release of initial funds by ExxonMobil, marking the beginning of FEED activities and the commitment of a Fast4Ward® hull for the Whiptail project.
Under the terms of the contracts, the ownership of the FPSO is expected to transfer to the client upon completion of the construction phase and before the start of operations in Guyana. The construction costs are anticipated to be partially financed through senior loans, repayable upon the FPSO’s transfer to the client.
SBM Offshore will assume the operation of the FPSO, employing an integrated operations and maintenance model that leverages SBM Offshore and ExxonMobil’s collective expertise and experience. This approach will build on the learnings and operational excellence gleaned from units presently deployed in Guyana.
The FPSO’s design and construction will be undertaken utilizing SBM Offshore’s industry-leading Fast4Ward® programme and the company’s seventh new build, Multi-Purpose Floater hull. It will incorporate standardized topsides modules, and the FPSO is projected to have a production capacity of 250,000 barrels of oil per day. Additionally, it will feature gas treatment capability of 540 million cubic feet per day and water injection capacity of 300,000 barrels per day. The FPSO will be moored in water approximately 1,630 meters deep and will have a storage capacity of around 2 million barrels of crude oil.
Building on the success of previous FPSOs such as Liza Destiny, Liza Unity, Prosperity, and ONE GUYANA, SBM Offshore said it remains committed to promoting local content development in Guyana. This commitment includes sourcing fabrication locally and integrating Guyanese engineers into the execution and operational teams.
Bruno Chabas, SBM Offshore’s Chief Executive Officer, expressed his pride in the project, noting that “This project demonstrates once more the value that our industry-leading Fast4Ward® program brings to our clients and other stakeholders while delivering carbon-efficient energy to the world.”
SBM Offshore’s work in the offshore energy industry is characterized by its design, construction, installation, and operation of offshore floating facilities. As a leading technology provider, the company plays a crucial role in the responsible energy transition, focusing on reducing emissions from fossil fuel production and developing cleaner solutions for renewable energy sources.
This announcement underlines the growing significance of Guyana in the offshore energy sector, with SBM Offshore continuing to contribute to the development of the region while adhering to industry-leading standards and practices.
