Bumi Armada secures $1.12B loan for ‘Armada Olombendo’ FPSO

Malaysia’s Bumi Armada has secured a loan amounting up to $1.12 billion from several banks.

The company will use the proceeds to deliver a floating, production, storage and offloading unit – FPSO – which will be leased to Italy’s Eni, under a contract signed in August, 2014.

The FPSO, to be named Armada Olombendo FPSO, be deployed at Eni’s Block 15/06 East Hub field development, located offshore Angola.

More precisely, Bumi Armada will use the cash to part-finance the Project, reimburse all costs and expenses in relation to the acquisition, conversion, refurbishment, mobilization, transportation, hook-up, mooring and installation of the FPSO, together with all ancillary and related work.

Singapore’s Keppel is building the FPSO by reconfiguring the former Armada Ali supertanker, which has a storage capacity of 1.8 million barrels. The FPSO will be positioned over the Cabaça North and Cabaça Southeast fields, about 350 kilometers north of Luanda, and producing up to 80,000 barrels a day by the end of 2016.

Offshore Energy Today Staff