BW Energy Acquires 100% of Golfinho Oil Field

BW Energy Acquires 100% of Golfinho Oil Field

Saipem has been officially announced that BW Energy and Petrobras have achieved the Golfinho transaction closing, according to which BW Energy has acquired 100% operating working interest in the Golfinho field.

This came as reference a memorandum of agreement (MOA) was signed by BW Energy and Saipem for the sale of the FPSO Cidade de Vitória.

In June 2022, BW Energy signed an agreement to acquire 100% working interest (WI) in the Golfinho and Camarupim Clusters and 65% WI in the BM-ES-23 block offshore Brazil from Petrobras. The acquisition was expected to add approximately 9,000 barrels per day of oil production from early 2023.

BW Energy also agreed to buy the FBSO Cidade de Vitoria, a Floating Production Storage and Offloading Unit producing on the Golfinho field, from Saipem.

Both transactions were expected to close in the first quarter of 2023. However, it was paused as a result of the Brazilian Ministry of Mine and Energy (MME) demand to review Petrobras’s divestment program. The company said that MME had requested a suspension of ongoing sales of assets for 90 days without putting Petrobras’ interests at risk.

Saipem and BW Energy are now working to complete the takeover and delivery process of the FPSO Cidade de Vitória, expected to occur within the fourth quarter of 2023.

Saipem will continue to operate FPSO, providing operation and maintenance services to BW Energy until the takeover.

According to the MOA, BW Energy agreed to pay Saipem a consideration equal to $73 million, of which $38 million is due at the Golfinho transaction closing and $35 million will be paid in 18 monthly installments following the takeover.

BW Energy will be the operator in all the concessions, with PTTEP (20% WI) and Inpex (15% WI) as partners in the BM-ES-23 block.  BW Energy will assume field abandonment liability for the FPSO, the subsea system, and 13 wells, of which Petrobras will share the cost of four wells.

 

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Doaa Ashraf 454 Posts

Doaa is a staff writer with a Bachelor's Degree in Mass Communication, majoring Journalism from Ahram Canadian University. She has 2-3 years of experience in copywriting, and content creation.

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