Petrobras inks letter of intent with MISC Berhad for Mero 3 FPSO charter

Brazilian oil major Petrobras has signed a letter of intent with Malaysia International Shipping Corporation Berhad (MISC Berhad) for the chartering and provision of an FPSO to be installed at the Mero 3 development offshore Brazil.

Petrobras said that that the FPSO, to be named Marechal Duque de Caxias, will be installed at the Mero field located in the Libra Block in the Santos Basin.

The Mero 3 FPSO will be the third unit to be installed in the Mero field and will have a processing capacity of 180,000 barrels of oil and 12 million cbm of gas per day. The term of the charter and service agreements is 22,5 years counting from the final acceptance of the unit, scheduled for the first half of 2024.

The project foresees the interconnection of 15 wells to the FPSO, with eight oil producers and seven water and gas injectors, through a subsea infrastructure composed of rigid production and injection ducts, flexible service ducts, and control umbilicals.

According to Petrobras, the Libra consortium intends to carry out a pilot test of the HISEP – High-Pressure Separation technology developed and patented by Petrobras for the first time in the Mero 3 area.

The technology consists of subsea separation and reinjection, through the use of centrifugal pumps, of a large part of the CO2 produced along with the oil, allowing the oil processing plant to be relieved in the FPSO and consequently allowing oil production to increase. Petrobras added that the HISEP is currently being defined and tested.

After qualification, a pilot can be installed in Mero 3 to perform longer-term tests and evaluate the technology.

The Mero field is the third largest of the pre-salt and is located in the Libra area, operated by Petrobras which holds a 40 per cent stake.

Partners in the Mero field are Shell and Total with 20 per cent each while CNODC and CNOOCC hold ten per cent each. Pré-Sal Petróleo S.A. is the manager of this agreement.

To remind, Petrobras made an investment decision for the second phase of the Mero project back in June 2019.

It is also worth noting that the partners in the project sanctioned the Mero 3 project on Monday.