Mubadala Petroleum has reached agreement with Petrofac for the modification and extension of contracts related to the FPF-003 floating production, storage and offloading vessel (FPSO), which continued extension of the Jasmine development’s field life.
The parties have signed a new ‘life of field’ agreement for the provision of operations and maintenance (O&M) services, which has the potential to run until 2023, with a six-month termination option. An extension to the associated charter lease for the vessel’s Bareboat Charter (BBC) has been signed between Mubadala and PetroFirst Infrastructure Ltd.
The new arrangements will result in a significant reduction in operating costs for Jasmine, underpinning the continuing commercial viability of this mature field even in the current oil price environment.
“Jasmine has been a remarkable success story, having produced over 60 MMbbl, several times more than original estimates of recoverable reserves,” said Musabbeh Al Kaabi, CEO, Mubadala Petroleum. “We believe there is more to come but it is a complex set of reservoirs and a mature asset, so a competitive and flexible approach to operations is vital.”