Petrobras, Teekay agree terms for Santos Basin floater

Teekay Corp. has signed a new fixed-rate contract with Petrobras to provide an FPSO for the Tiro and Sidon fields in the Santos Basin offshore Brazil.

Offshore staff

HAMILTON, Bermuda -- Teekay Corp. has signed a new fixed-rate contract with Petrobras to provide an FPSO for the Tiro and Sidon fields in the Santos Basin offshore Brazil.

The company will provide the Petrojarl Cidade de Itajai, currently under conversion from an Aframax tanker at Sembcorp Marine’s Jurong Shipyard in Singapore. The vessel, which was part-converted prior to Teekay’s bid, should cost around $370 million to complete.

Delivery is scheduled for Q2 2012, when the FPSO is due to start operations under a nine-year firm period time-charter contract to Petrobras, with six additional one-year extension options.

Bjorn Moller, President and CEO of Teekay, said. “The Petrojarl Cidade de Itajai will be Teekay’s second FPSO unit in Brazil and complements the existing Cidade de Rio das Ostras FPSO which has been successfully operating in Brazil since 2008.”

10/21/2010

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