MODEC awarded letter of intent by Eni Mexico

Source: press release, 11 October 2018

‘Cidade de Caraguatatuba’ – MODEC has thus far delivered 46 floating production systems all over the globe
MODEC has thus far delivered 46 floating production systems all over the globe (photo: MODEC)

MODEC, Inc. has announced that it has received a Letter of Intent (LOI) for supply, charter, and operations of a floating production storage and offloading (FPSO) vessel from Eni Mexico S. de R.L. de C.V., a wholly owned subsidiary of Eni S.p.A., on October 3, 2018. The firm time charter period is 15 years with five 1-year extension options. A purchase option is included.

The FPSO will be deployed in the Offshore Area 1 some 10 kilometres off the coast of Mexico at a water depth approximately 32 metres. The field operatorship is 100% owned by Eni Mexico. The Area 1 project is currently in the pre-development phase.

MODEC is responsible for the engineering, procurement, construction, mobilisation, installation and operation of the FPSO, including topsides processing equipment as well as hull and marine systems. SOFEC, Inc., a MODEC group company, will design and supply the disconnectable tower yoke mooring system of the FPSO.

The FPSO will be capable of processing 90,000 barrels of crude oil per day, 75 million cubic feet of gas per day, 120,000 barrels of water injection per day and have a storage capacity of 900,000 barrels of crude oil. The first oil production by the FPSO is planned for 2021.

MODEC has extensive experience with engineering, procurement, construction and installation (EPCI) as well as charter and operations projects, thus far delivering 46 floating production systems all over the globe including five systems in the Gulf of Mexico.

“We are extremely honoured and proud to have been selected to provide and operate the FPSO for Eni Mexico,” comments Toshiro Miyazaki, President and CEO of MODEC. “This project will continue to allow MODEC to showcase our distinguished capabilities in EPCI, charter and operations of floating production systems. We are committed to carry out this major project by cooperating closely with our client in order to contribute to the advancement of the energy industry in Mexico.”