MODEC signs LOI for Petrobras FPSO

MODEC has signed a letter of intent with Petrobras for the supply, charter, and operations of an FPSO vessel.

Offshore staff

TOKYO -- MODEC has signed a letter of intent with Petrobras for the supply, charter, and operations of an FPSO vessel. The lease is for 12 years with three one-year options.

MODEC is responsible for the engineering, procurement, construction, mobilization, and operations of the FPSO, including topsides processing equipment, hull, and marine system. SOFEC will provide the spread mooring.

MODEC plans to convert the VLCC FSOBateau into an FPSO capable of processing 350 MMcf/d of gas and 35,000 b/d of oil, and storing 700,000 bbl of oil. The vessel is scheduled to arrive in Brazil in 4Q 2009.

The FPSO, to be named FPSOCidade de Santos MV20, will be deployed in 1,300 m (4,265 ft) of water in the Urugua field and will also gather production from the Tambau field in the Santos basin. The development plan includes 12 wells, with first production expected in January 2010. The natural gas processed from the FPSO will be delivered through an 18 in. (46 cm) gas pipeline to the Mexilhão field.

02/29/2008

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