Offshore staff
SINGAPORE — BW Offshore has been awarded a limited notice to proceed (LNTP) by Shell Brasil Petróleo Ltda and its partners for early-stage engineering and supplier reservations for the supply of an FPSO for the Gato do Mato oil and gas field offshore Brazil, according to a recent company news release.
Upon completion of the LNTP, which is valued up to $50 million, Shell and its partners target to award a lease and operate contract to a consortium comprising BW Offshore and Saipem S.p.A. The consortium will be jointly responsible for the engineering, procurement, construction and installation (EPCI) of the FPSO with expected delivery in 2026.
The award is subject to the parties finalizing the commercial and pricing terms of the contract in view of the current inflationary supply chain market and a final investment decision to proceed by Shell and its partners.
The FPSO lease and operate contract will have a firm period of 18 years with seven years of options.
“We have a clear strategy of developing and operating infrastructure type floating production solutions with long-term contracts and investment grade counterparties. Gato do Mato is a robust project meeting all our requirements,” said BW Offshore CEO Marco Beenen. “We will replicate the Barossa project model, bringing in equity partners, and take it one step farther by partnering with Saipem for the EPCI phase to add execution capacity and capabilities. We are very pleased to team up with Saipem and look forward to building a long-term relationship with Shell and its partners in Brazil.”
05.27.2022
