ExxonMobil and SBM Offshore have entered into a 10-year Operations and Maintenance Enabling Agreement for the Guyana FPSO fleet. The agreement, signed with Esso Exploration & Production Guyana Ltd, establishes new terms for the operations and maintenance of FPSOs Liza Destiny, Liza Unity, Prosperity, and ONE GUYANA. This collaboration aims to optimize the performance of the Guyana FPSO fleet while fostering synergies between the two companies.
Enhancing Operational Excellence and Team Efficiency
The Integrated Operation Model implemented by SBM Offshore and ExxonMobil Guyana is a pioneering approach in the industry. This model integrates the teams of both companies, combining their expertise and resources to achieve excellence in the operation of Guyanese assets. By seconding ExxonMobil Guyana employees in key positions, the model enhances team efficiency and streamlines operations.
Unlocking Long-Term Business Vision in Guyana
The 10-year agreement solidifies SBM Offshore’s commitment to its long-term business vision in Guyana. It enables the company to make local and sustainable investments in people and infrastructure. SBM Offshore will leverage its digital and operational technologies to optimize the performance of the Guyana FPSO fleet, contributing to the growth of the oil and gas industry in the region.
Financial Impact and Lease Terms
The agreement is estimated to have an impact of around $3 billion on SBM Offshore’s revenue backlog, considering various operating and maintenance assumptions. The lease terms remain the same for all units, with a 10-year lease for FPSO Liza Destiny and up to a 2-year lease for FPSOs Liza Unity, Prosperity, and ONE GUYANA. After the lease period, the ownership of the FPSOs will transfer to the client.
A New Performance Benchmark for the Industry
Bruno Chabas, the CEO of SBM Offshore, believes that the Integrated Operation Model sets a new performance benchmark for the industry. By integrating their teams and resources, SBM Offshore and ExxonMobil Guyana aim to deliver operational excellence and value to all stakeholders. This collaboration demonstrates a strong partnership focused on maximizing the potential of Guyana’s offshore oil and gas assets.
The 10-year agreement between ExxonMobil and SBM Offshore for the Guyana FPSO fleet marks a significant milestone in the development of Guyana’s oil and gas industry. With a focus on operational excellence, team efficiency, and long-term sustainability, this collaboration sets the stage for optimized operations, technological advancements, and future growth in the region.
Frequently Asked Questions
What is ExxonMobil?
ExxonMobil is a multinational oil and gas corporation. It is one of the largest publicly traded companies in the world and is involved in various aspects of the petroleum and petrochemical industry, including exploration, production, refining, and marketing of oil and gas products.What is SBM Offshore?
SBM Offshore is a company that specializes in the design, construction, and operation of floating production, storage, and offloading (FPSO) vessels. They provide offshore services to the oil and gas industry, including the leasing and maintenance of FPSOs.Where is Guyana located?
Guyana is a country located on the northeastern coast of South America. It is bordered by Venezuela to the west, Brazil to the south, Suriname to the east, and the Atlantic Ocean to the north.What is an FPSO?
FPSO stands for Floating Production, Storage, and Offloading. It is a type of vessel used in the offshore oil and gas industry. An FPSO is equipped with processing facilities to extract and process oil and gas from offshore wells. It also has storage capacity to store the extracted hydrocarbons until they can be offloaded to tankers for transportation to shore.Who is Bruno Chabas?
Bruno Chabas is the CEO of SBM Offshore. He is responsible for leading the company’s strategic direction and overseeing its operations in the offshore oil and gas sector. Chabas has extensive experience in the energy industry and has held various leadership positions throughout his career.
