Brazilian oil company Enauta has completed the acquisition of the FPSO OSX-2 for the Definitive System of the Atlanta Field in Brazil for $80 million.
Atlanta Field is located in the Santos Basin, offshore Brazil, and is fully owned by Enauta. Enauta has been producing oil from the field using the Petrojarl I FPSO as the Early Production System and plans to deploy the FPSO OSX-2 at the field in 2024.
Décio Oddone, CEO of Enauta said : "The acquisition of an existing unit at an attractive price substantially improves the expected return for Atlanta, in addition to optimizing the time required for the implementation of the Definitive System, allowing, in the event of project sanction, the first oil in mid-2024. This term, together with the extension of the Petrojarl I contract, allows for the continuity of production during the transition from the Early Production System to the Definitive System.
According to World Energy Reports, OSX 2 FPSO is currently in storage in Sout East Asia.
"This FPSO was completed in 2013 and went from the shipyard to storage site when the field operator (OGX) decided to not deploy the production unit," World Energy Reports said in its recent FPS report.
In December 2021, Enauta issued Yinson an LOI for the adaptation of FPSO OSX-2 by Yinson through a turnkey engineering, procurement, construction, and installation contract (“EPCI”), with warranty and Operation and Maintenance (“O&M”) for 24 months.
It was said at the time that the FPSO acquisition and adaptation cost would be at around $500 million, and that Yinson would, before the startup of production from the FPSO, have the option to purchase the unit linked to financing. If the option is exercised, it will be linked to charter, operation, and maintenance contracts for a period of 15 years, which may be extended for another five years, totaling US$2.0 billion for the 20 years.
Enauta also recently agreed to extend the contract for the Petrojarl I FPSO which has serves as an early production system at the Atlanta field since 2018.
Rig Booked
In a separate statement on Wednesday, Enauta said it had hired the Alpha Star semi-submersible drilling rig to drill the fourth production well at the Atlanta field. Enauta expects to start drilling in the fourth quarter of 2022.
The contract could eventually be extended to include two more wells for Atlanta’s Full Development System. Alpha Star is a deepwater DP semi-submersible drilling rig that started its operations in July 2011.
Enauta expects the drilling operation, estimated to cost around $23 million, to take around 60 days. The contract, subject to Enauta´s board approval, can be renewed for another 150 days for drilling operations of the other two producing wells and lines relocation.