SBM Offshore speeding up FPSO projects with new multi-purpose floater hull financing

Dutch FPSO operator SBM Offshore has secured a new multi-million revolving credit facility (RCF) for the financing of the construction of Fast4Ward multi-purpose floater (MPF) hulls.

While confirming a $210 million RCF for the MPF hull financing, SBM Offshore explained that the tenor of the RCF was eighteen months with an extension option for another six months. The repayment is expected to take place upon the sale of the MPF hulls or drawdown of the relevant project loan.

Douglas Wood, CFO of SBM Offshore, commented: “The successful closing of this facility supports our Fast4Ward strategy to fast-track FPSO projects and make them more competitive by providing targeted financing for the construction of MPF hulls at a competitive rate.”

Under the Dutch player’s Fast4Ward program, eight standardized MPF hulls have been ordered to date with seven allocated to projects and one supporting tendering activities.

Last month, ExxonMobil paid around $1.26 billion to SBM Offshore for an FPSO, which is working on the oil major’s first oil development project located off the coast of Guyana.

Recently, the Dutch player got its hands on a contract to perform front end engineering and design (FEED) for another FPSO, which is destined to work on ExxonMobil’s sixth deepwater oil development project on the Stabroek block offshore Guyana.