Storing oil at sea is looking ship-shape for one consortium and its $3.6 billion (2.63 billion) floating production, storage and offloading vessel order.
The consortium, led by Brazils Petrobras, and including the UKs BG Group, Portugals Galp Energia and Spains Repsol-YPF, signed two engineering, procurement and construction contracts for eight hulls for floating production, storage and offloading (FPSO) vessels, which are to be used in the first development phase of the massive, offshore pre-salt frontier in Brazil.
Brazilian infrastructure firm Engevix Engenharia will undertake the work.
Each FPSO vessel will have the capacity to process up to 150,000 barrels of crude and 6 million m3 (211 million cubic feet) of gas a day.
The hulls, to be built by Engevix at shipyards in the southern port city of Rio Grande, will have close to 70% domestic content and are to be delivered between 2013 and 2015.
Six of the FPSO vessels will be used in the BM-S-11 block, which includes the Tupi, Iara and Iracema fields and is operated and 65%-owned by Petrobras. Partners BG and Galp own 25% and 10% of that block, respectively.
The other two FPSOs will be used in BM-S-9, in which Petrobras is the operator and holds a 45% stake. BG owns 30% and Repsol 25% in that block, which includes the Guara and Carioca fields.
Source: Latin American Herald Tribune