BW Offshore signed a contract with Santos Ltd. for the supply of FPSO for Barossa gas field, says a press release published on their website.
$4.6 billions contract between Santos and BW Offshore
BW Offshore has signed a contract that is subject to Final Investment Decision (FID) by Santos and its partners for the supply of a FPSO for the Barossa gas field.
It is a Lease and Operate contract with a firm period of 15 years having its value of USD 4.6 billion.
Building of the FPSO
The BW has taken responsibility for building and operating the FPSO.
The unit will be a large FPSO with processing capacity for up to 800 million standard cubic feet per day of gas and design capacity of 11,000 barrels per day of stabilized condensate.
The topside weight is approximately 35,000 tons. Initial gas production from the FPSO is expected during the first half of 2025.
Financing of the FPSO project
Around USD 2 billion will be financed by banks and equity partners, in combination with BW Offshore, as well as approximately USD 1 billion in total advance lease payments during the construction period. BW Offshore and international infrastructure equity partners will contribute 51% and 49% of the project equity respectively.
CEO of BW Offshore
Marco Beenen, the CEO of BW Offshore says, “This award confirms our ability to leverage extensive operational and development capabilities to win and execute offshore energy transition related projects. The Barossa FPSO represents a new type of infrastructure-like contract for BW Offshore with attractive long-term returns, supported by strong partnerships with equity co-investors and banks.”
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Source : BW Offshore
