Norwegian oil and gas firm, Aker Energy has entered into a Letter of Intent (LOI) with Yinson Holdings Berhad, Malaysia-based oil services provider for the provision of a Floating Production, Storage and Offloading vessel (FPSO) for the Pecan development project at the Deepwater Tano/Cape Three Points, offshore Republic of Ghana.
Aker Energy announced this in a statement posted on the company’s website.
The LOI follows a competitive tender and demonstrates Aker Energy’s intention to award the forthcoming bare-boat charter and operations and maintenance contract for the FPSO for the planned development of the Pecan field in the Deepwater Tano Cape Three Points (DWT/CTP) block offshore Ghana.
The contracts will have a firm duration of ten years followed by five yearly extension options exercisable by Aker Energy as operator on behalf of the license partners Lukoil, Fueltrade and Ghana National Petroleum Corporation (GNPC).
Once developed and installed, the FPSO will be located over and connect to the state-of-the-art subsea production system located at approximately 2,400 meters below sea level.
Together, this will form the fourth installation to produce oil and gas resources offshore Ghana.
The FPSO will be Yinson’s second vessel to operate in Ghanaian waters, with the first being FPSO John Agyekum Kufuor, operating for ENI since 2017.
Commenting on the award CEO of Aker Energy, Mr. Svein Jakob Liknes, said: “We are continuing with our preparations for the Pecan project and awarding an LOI for the future contracts for the FPSO vessel is certainly a key milestone.”
“As one of the world’s leading FPSO providers, we have a strong belief in Yinson’s ability to deliver on time, at the required quality, and to the highest safety standard,” he added.
“We look forward to partner with Yinson to make the Pecan project a reality – to the mutual benefit of the people of Ghana, Aker Energy and our partners. Once in operation, the project will bring significant revenues to the country as well as direct and indirect job opportunities for indigenous companies and individuals,” Mrs. Kadijah Amoah, Country Director of Aker Energy in Ghana also remarked.
Yinson Group Chief Executive Officer (CEO) Lim Chern Yuan said this was the group’s second large project award in the last six months.
“We are gearing up for even greater growth ahead. In line with this, we have been building our resources, capacity and expertise; putting us in a strong position to meet our commitments to the projects that we have undertaken,” he said.
Meanwhile, Yinson CEO for production, Eirik Barclay added that the Yinson team is greatly looking forward to working with Aker Energy on this exciting and challenging project in over 2,400 metres of water depth.
“We are confident in our ability to deliver the FPSO to the Pecan field on schedule,” said Barclay.
Yinson said the contracts are expected to contribute positively to its earnings.
Source: www.energynewsafrica.com