Milan-based Saipem announced an agreement with Eni for the sale of the Firenze FPSO (Floating Production Storage and Offloading) business line for €336 million (US$464 million). The agreement includes the Firenze FPSO unit, the on-board processing plan, and existing related contracts.
The Firenze was installed on ENI’s Aquila field in the Adriatic Sea, offshore Puglia, eastern Italy, in 2011.
Saipem's US$1.5 billion contract with Eni in 2009 provided an option to purchase the vessel Firenze FPSO alone, subsequent to the conversion and commissioning of the vessel, which was completed at the end of last year.
The agreement is due to be signed on 13 December 2013 and provides for the transfer of the Firenze FPSO business line to a newly-established company, Floaters SpA, and the subsequent sale of the entire share capital of Floaters to Eni.
As part of the purchase agreement, Saipem has agreed to provide Floaters with ship management services for an interim period. Saipem will also carry out completion activities on the vessel as stipulated in the contract.
"I am pleased with this agreement which reduces our exposure to activities which I don’t consider core to the business and is in line with Saipem’s objective to optimize the financial structure," explained Umberto Vergine, Saipem's Chief Executive Officer.
The FPSO was built in 1989, and christened as the Firenze FPSO in 2011 (previously named Shoshone Spirit, Betatank, and Betatank II). It is classed by Lloyd's Shipping Register and flagged in Italy.
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