Petrojarl I to be converted for early production operations offshore Brazil

Teekay Offshore Partners has entered an agreement to provide an FPSO for the Atlanta field in the Santos basin offshore Brazil.

Offshore staff

HAMILTON, Bermuda – Teekay Offshore Partners has entered an agreement to provide an FPSO for the Atlanta field in the Santos basin offshore Brazil.

A consortium led by Queiroz Galvão Exploração e Produção SA (QGEP) will acquire thePetrojarl I FPSO from Teekay Corp. for $57 million. The vessel will then undergo upgrades at Damen Shipyard Group’s DSR Schiedam Shipyard in the Netherlands at a total cost of $240 million (including the acquisition price).

The revamped floater will serve as an early production system on the 260 MMboe-recoverableAtlanta field, 185 km (115 mi) offshore Brazil in a water depth of 1,550 m (5,084 ft). It is due to start operations during the first half of 2016 under a five-year charter contract with QGEP, which is expected to generate cash flow of $55-60 million/yr.

12/18/2014

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