SBM Offshore and ExxonMobil Guyana, an affiliate of ExxonMobil Corporation, have completed the transaction related to the purchase of floating, production, storage and offloading (FPSO) Liza Destiny, deployed at Stabroek Block, offshore Guyana.
The agreement was finalized ahead of the maximum lease term, which would have expired in December 2029. The purchase allows ExxonMobil Guyana to assume ownership of the unit while SBM Offshore will continue to operate and maintain the FPSO up to 2033.
The transaction comprises a total cash consideration of $535 million. The net cash proceeds will primarily be used for the full repayment of the $405 million project financing and as such will decrease SBM Offshore’s net debt position.
The FPSO Liza Destiny has been on hire since December 2019 and since 2023 has and will continue to be operated through the integrated operations and maintenance model combining SBM Offshore and ExxonMobil’s expertise and experience delivering outstanding operational performance.
The FPSO, which was converted from a very large crude carrier (VLCC), is designed to produce up to 120,000 barrels of oil per day with associated gas treatment capacity of circa 170 million cubic feet per day, water injection capacity of circa 200,000 barrels per day and an overall storage volume of 1.6 million barrels.
The FPSO began production in December 2019 at ExxonMobil’s Stabroek Block offshore Guyana.