Indian oil and gas company ONGC plans to extend the contract for the Armada Sterling FPSO, owned by a joint venture between Bumi Armada and Shapoorji Pallonji Oil and Gas Private Limited.
Bumi Armada said Wednesday that its JV company had recently received notification from ONGC, about the oil company's plan to extend the contract of the Armada Sterling FPSO from April 20, 2020.
"According to ONGC, approval for the formalisation of the contract extension has been delayed due to the COVID-19 lockdown in India," Bumi Armada said.
In the meantime, ONGC has requested SPBAOPL (the JV firm) to process the case with relevant authorities for obtaining permits/ extension to ensure continuity of operations at the site.
Under the original contract signed on August 10, 2011, Armada Sterling FPSO was chartered by ONGC to operate in the ONGC D1 field located 200km off the west coast of Mumbai, India. The original firm charter expires on April 19, 2020.
SPBAOPL the company which owns the Armada Sterling FPSO, is a 49% less 1 share: 51% plus 1 share joint venture between Bumi Armada and Shapoorji Pallonji Oil and Gas Private Limited of India.