Netherlands-based SBM Offshore Welcomes FPSO One Guyana for ExxonMobil Project

Netherlands-based SBM Offshore, a provider of the design, construction, installation, and operation of offshore floating facilities, has bid welcome to its new floating production, storage, and offloading (FPSO) vessel destined for ExxonMobil’s fourth oil project in the Stabroek block off the coast of Guyana.

While revealing the arrival of the FPSO One Guyana to Guyanese shores, SBM Offshore highlights that this unit will support the ExxonMobil-operated Yellowtail development in the Stabroek block, with the first oil anticipated later this year.

The U.S. oil major sanctioned its fourth project in the Stabroek block, which comprises six drill centers and up to 26 production and 25 injection wells, in April 2022 and followed it up with a contract confirmation with SBM Offshore for the supply of the FPSO. The Dutch player emphasized that the vessel arrived on schedule after traveling just over 11,000 nautical miles, or slightly more than 20,000 kilometers, from Singapore in 56 days. This unit will join the three other FPSOs – Liza Destiny, Liza Unity, and Prosperity – which are currently hard at work offshore Guyana.

Significant Milestone in Operations

Alex Glenn, SBM Offshore’s Chief Operating Officer, commented: “This accomplishment reflects the unwavering effort and dedication of our teams, who have worked relentlessly to make this project a reality.

“The addition of FPSO One Guyana to our fleet marks a significant milestone in our operations and reinforces our commitment to excellence and innovation in the sector. Welcome to the fleet, FPSO One Guyana!”

Key Features of FPSO One Guyana

The FPSO One Guyana, SBM Offshore’s fourth unit in Guyanese waters, has an initial production capacity of 250,000 barrels of oil per day, associated gas treatment capacity of 450 million cubic feet a day, daily water injection capacity of 300,000 barrels, and a storage capacity of 2 million barrels per day.

The unit, which will be spread-moored in a water depth of around 1,800 meters, comes with a design incorporating the Dutch player’s Fast4Ward program. After entering drydock in March 2023, the FPSO left it almost a year later and arrived along the quayside at the Seatrium yard in Singapore.

Future Plans and Expansion

SBM Offshore confirmed the unit’s move to the integration and commissioning phase in September 2024. Encompassing 6.6 million acres, or 26,800 square kilometers, the Stabroek block is operated by ExxonMobil’s affiliate in Guyana with a 45% interest. The firm’s partners are Hess Guyana Exploration (30%) and CNOOC Petroleum Guyana (25%).

The company intends to deploy six FPSOs with a gross production capacity of over 1.2 million barrels of oil per day on the Stabroek block by the end of 2027. However, it has also hinted at the potential for up to ten FPSOs being on the table to develop the estimated gross discovered recoverable resources of over 11 billion barrels of oil equivalent.

SBM Offshore, which is also in charge of constructing the FPSO Jaguar for ExxonMobil’s Whiptail oil development, recently showcased its financial prowess by securing a revolving credit facility (RCF) with a group of 13 international banks and disclosed its first sale and leaseback financing deal for an FPSO deployed at Petrobras’ asset in Brazil.