Yinson Acacia Ltd. has secured a letter of intent (LOI) from Enauta Energia SA for provision, operation, and maintenance of a 50,000-b/d FPSO in Atlanta field, Santos basin, offshore Brazil.
The LOI comes with a call option exercisable by Yinson to acquire the asset-owning company of the project with a 15-year time charter agreement and operation and maintenance agreement of the same duration, with Enauta having a right to extend the terms of these agreements by a further 5 years.
The estimated aggregate value of the project is $505 million (including a 2-year operations and maintenance agreement), with a further increase to $1.981 billion (inclusive of 5-year extension period) should Yinson exercise the call option.
The LOI follows signing of a binding memorandum of understanding (MoU) between Yinson and Enauta on Aug. 27, 2021, to engage in exclusive negotiations for the potential supply and charter of the FPSO.
Emission-lowering technologies have been included into the FPSO’s design. This will be Yinson’s third project award in Brazil, with the earlier two on track for completion in 2023 and 2024, respectively.
Petrobras last month signed an LOI with Yinson Production PTE Ltd. for FPSO services for the Parque das Baleias integrated project, to be installed in Jubarte field in the northern part of Campos basin. The FPSO is scheduled to start production fourth-quarter 2024 (OGJ Online, Nov. 15, 2021).
The 2023 FPSO was signed by Petrobras for Marlim Unit 2 also in Campos basin. Marlim 2 will have capacities of 70,000 b/d of oil and 4 million cu m/day of gas.