BW Offshore mulls FPSO layup after new Petrobras extension expires

FPSO operator BW Offshore has signed an agreement with Petrobras for an extension of the lease and operation of BW Cidade de São Vicente in Brazil.

FPSO Cidade de São Vicente; Image: BW Offshore
FPSO Cidade de São Vicente; Image: BW Offshore

BW Offshore said on Tuesday that the extension was for 48 days and that the contract would expire on 11 June 2020.

The company added that it started planning for the demobilisation of the unit from the field and is considering temporary lay up in Brazil.

The BW Cidade de São Vicente was converted by Keppel in 2009. The FPSO’s oil production capacity is 30,000 bbl/d and storage capacity of 470,000 bbl.

The vessel has been operating for Petrobras offshore Brazil since its delivery. To remind, the previous extension for the FPSO was received in April 2019.

It is worth noting that the Cidade de São Vicente was used as a well test facility on multiple locations offshore Brazil.

It is currently testing the Farfan discovery, located in the deepwater BM-SEAL-11 block in the Sergipe-Alagoas basin. The Farfan long-term test started in late February and is expected to last 180 days.