ExxonMobil Picks SBM Offshore for Guyana FPSO FEED Work

SBM Offshore has secured contracts from ExxonMobil Guyana to carry out front-end engineering and design (FEED) studies for a floating production, storage and offloading (FPSO) vessel for the Longtail development offshore Guyana.

The FEED award triggers the initial release of funds to begin engineering work and allocate a Fast4Ward hull for the project.

SBM Offshore said it is expected to construct and install the FPSO, subject to government approvals, a final investment decision by ExxonMobil and further project approvals.

Under the contracts, ownership of the FPSO is expected to be transferred to the client at the end of construction and prior to start-up of operations in Guyana. Construction costs are expected to be partially financed through senior loans to be repaid upon transfer of the unit.

The company is also expected to operate the FPSO under its integrated operations and maintenance model, combining its expertise with ExxonMobil’s experience and applying operational practices from existing units deployed in Guyana.

The FPSO will be based on SBM Offshore’s Fast4Ward program, using the company’s ninth new-build Multi-Purpose Floater hull with standardized