Saipem Confirms Shell's Gato do Mato FPSO LNTP

OEDigital

June 15, 2022

Saipem Confirms Shell's Gato do Mato FPSO LNTP
Illustration - An FPSO in Brazil - Credit: Ranimiro/AdobeStock

Italian oilfield services firm Saipem has confirmed it has recently been awarded a limited notice to proceed (LNTP) by BW Offshore, for the early-stage engineering services for the supply of an FPSO unit to be supplied to Shell for the development of the Gato do Mato field offshore Brazil.

The oil and gas field is located around 200 km offshore Brazil in the Santos Basin, in water depths of around 2,000 meters.

The LNTP is valued at up to $50 million. Saipem’s share is worth approximately $25 million.

Upon completion of the LNTP, Shell and its partners target to award a lease and operate contract which will include the award of the engineering, procurement, construction, and installation (EPCI) of the FPSO to a consortium between Saipem and BW Offshore, with expected delivery in 2026. 

"The award is subject to the parties finalising the commercial and pricing terms of the contract in view of the current inflationary supply chain market and a final investment decision to proceed by Shell and its partners," Saipem said.

BW Offshore has previously said that the FPSO lease and operate contract would have a firm period of 18 years with seven years of options.

The company said it would replicate the Barossa project model, bringing in equity partners, and "take it one step further by partnering with Saipem for the EPCI phase to add execution capacity and capabilities." 


Intelatus Provides Snapshot of U.S. Offshore Wind Industry Progress

July 6, 2022

Intelatus Provides Snapshot of U.S. Offshore Wind Industry Progress

Intelatus: U.S. Offshore Wind Picking Up Speed

May 3, 2022

Intelatus: U.S. Offshore Wind Picking Up Speed

2020 Has Been a Big Year for US Offshore Wind

December 8, 2020

2020 Has Been a Big Year for US Offshore Wind

Floating Power Plants: Is Nuclear the Key in the Net-zero Energy Transition?

February 14, 2022

Floating Power Plants: Is Nuclear the Key in the Net-zero Energy Transition?

US Offshore Wind Segment Showing No Signs of Slowing Down

June 1, 2022

US Offshore Wind Segment Showing No Signs of Slowing Down

Coral Sul FLNG: World's Deepest FLNG Unit Moored Off Mozambique

March 7, 2022

Coral Sul FLNG: World's Deepest FLNG Unit Moored Off Mozambique