RIO DE JANEIRO—With the necessity of the development of ultradeepwater projects located in the presalt layer, many FPSO unit building companies eye Brazil as a good opportunity to ensure new contracts. In fact, Brazil plays an important role within this scenario that still faces uncertainties around the world where dozens of offshore vessels remain idle, according to Energy Maritime Associates.
“We are very excited about great opportunities offered in the country. We are certain that we could contribute to the development,” SBM Offshore Brasil CEO Oliver Kassam said. “Brazil’s offshore segment has been constantly evolving, and we have made a great effort to adapt and grow together with the country, building a solid partnership and relationships that will last for many decades.”
SBM Offshore operates eight FPSO units along the Brazilian coast.
In August SBM Offshore opened a new office in Rio de Janeiro to be closer to the upcoming bids to be launched by Petrobras over the next three years.
The Brazilian state-owned oil giant has four FPSO units scheduled to produce first oil in 2017, followed by five in 2018 and another two in 2019. Also, Petrobras, which is still working to overcome its worst crisis, has been assembling the modules for FPSO units to be operated in the presalt.
This year floater operators are submitting bids for three FPSO tenders launched by the Brazil oil major. The floaters will be designed to be operated in Libra, Sépia and Búzios. All of those oil fields are located in Santos basin.
Amid controversy over Brazil’s local content rules, the highly disputed FPSO tender, also known as Libra Phase II, has been delayed several times by Petrobras. Yet, although it has not been officially announced, local sources said the contract will be awarded to the Japanese operator Modec, beating competitors such as SBM Offshore and BW Offshore.
According to the contract, the winning floater company may choose to build a new unit or convert an existing hull. The Libra phase II FPSO charter agreement will last 22 years.
The unit will have the capacity to produce 180,000 boe/d and process 12 MMcm (423 MMcf) of gas and Libra Phase II’s first oil is scheduled to be produced in 2022.
After contracting the second unit, the Libra consortium plans to return to the market in late 2018 to charter a new FPSO unit for Phase III.
The prolific Buzios Field also poses nice business opportunities for floater companies. In July Petrobras launched tender for its fifth FPSO unit to be deployed in that field where the state-owned oil company holds a 100% stake.
According to Petrobras’ press office, commercial proposals are scheduled to be received by Sept. 15. The FPSO unit will be designed to have the capacity to produce 180,000 bbl/d of oil and 6 MMcm/d (212 MMcf/d) of natural gas.
The shipbuilding scenario in Brazil does not only show a favorable outlook for floater companies but also for their suppliers.
Petrobras has recently announced that the company intends to acquire another FPSO unit to revitalize production at the aging Marlim Field in the Campos Basin. The floater is scheduled to begin production in 2020—the first of two forthcoming units designed.
Besides launching tenders for acquiring FPSO units, Petrobras is carrying out activities in some Brazilian shipyards. The FPSO units P-69, P-74, P-75, P-76 and P-77 are scheduled to enter operation by first-quarter 2019.
EBR is presently performing integration of the P-74 at its shipyard in Sao Jose do Norte in the state of Rio Grande do Sul.
A consortium formed by TechnipFMC and Techint is in charge of integration work on the P-76 at the Pontal do Parana shipyard.
The QGI consortium will carry out the integration of the P-75 and P-77 later at the Honorio Bicalho shipyard, but the bulk of the work is being done in China by Cosco Shipyard, which is responsible for the fabrication of most topsides modules.
—Brunno Braga
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