SBM Offshore Wins FEED Work for ExxonMobil’s Longtail FPSO in Guyana

Overview

• SBM Offshore, which announced the award Tuesday, will run front-end engineering and design for a floating production, storage and offloading vessel at Longtail and calls it its sixth FPSO award from ExxonMobil Guyana.
• The FEED award triggers initial funding and locks in a Fast4Ward hull so engineering can start on the unit that will handle 1,200 million cubic feet of gas per day and produce 250,000 barrels of condensate per day.
• The planned vessel will be spread-moored in about 1,750 meters of water and store around 2 million barrels of condensate, which signals a very large gas and liquids handling scope for an FPSO.
• Construction and installation will proceed only after the Guyana government approves the development plan and ExxonMobil makes a final investment decision, with ownership set to transfer to the client at handover using senior loans repaid at transfer.
• SBM plans to use its ninth new-build Multi-Purpose Floater hull with standardized topsides and to operate the unit through an integrated model, while continuing local hiring and fabrication in Guyana within the Stabroek block partnership of ExxonMobil, Chevron’s Hess unit, and CNOOC.