SBM Offshore Gets Order for Second Liza FPSO

SBM Offshore has secured a contract from ExxonMobil’s subsidiary Esso Exploration and Production Guyana Limited (EEPGL) to perform Front End Engineering and Design (FEED) for a second Floating Production, Storage and Offloading vessel (FPSO) for the Liza development located in the Stabroek block in Guyana.

EEPGL is the operator of the Stabroek block with partners Hess Guyana Exploration and CNOOC Nexen Petroleum Guyana Limited.

Following FEED and subject to requisite government approvals, project sanction and an authorization to proceed with the next phase, SBM Offshore will construct, install and then lease and operate the FPSO for a period of up to 2 years, after which the FPSO ownership and operation will transfer to EEPGL.

The second Liza FPSO design is based on SBM Offshore’s Fast4Ward program as it incorporates the company’s new build, multi-purpose hull combined with several standardized topsides modules.

The FPSO will be designed to produce 220,000 barrels of oil per day, will have associated gas treatment capacity of 400 million cubic feet per day and water injection capacity of 250,000 barrels per day. The FPSO will be spread moored in water depth of about 1,600 meters and will be able to store around 2 million barrels of crude oil.

With respect to FPSO Liza Destiny (Liza 1), progressing according to plan and currently under conversion in Singapore, discussions with the client are underway regarding a potential accelerated transfer of ownership using the purchase option in the 10 year lease contract. The outcomes of these discussions are expected to lead to a transfer of the FPSO ownership and operation after a period of up to 2 years, SBM said.

SBM Offshore CEO Bruno Chabas said: “We are pleased to report that ExxonMobil has selected SBM Offshore to award contracts for the second Liza FPSO, starting with the front-end engineering, for the development of the second phase of the world-class deep water development in Guyana. The successful team work with our client ExxonMobil on the FPSO Liza Destiny project provided a solid foundation for this award. This project will be adding further traction to SBM Offshore’s Fast4Ward program as its design is incorporating our multi-purpose hull and a number of standardized modules. We look forward to continuing to build on our close collaboration with ExxonMobil in order to also make this project a success.

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