LatAmOil: ExxonMobil, SBM discussing fourth FPSO for Stabroek

US-based ExxonMobil is reportedly in discussions with the Dutch contractor SBM Offshore on the construction of a fourth floating production, storage and off-loading (FPSO) vessel for installation at the Stabroek block offshore Guyana.

Two sources close to the matter told Reuters last week that the parties had already begun negotiations. One of the key subjects under discussion is a proposal for building some of the components of the FPSO in Guyana itself, they noted.

The sources did not say whether any specific local-content contracts were on the agenda, but Reuters noted that the proposal was in line with the Guyanese government’s efforts to ensure that local firms have the opportunity to contribute to hydrocarbon projects. It quoted Bharrat Jagdeo, the country’s vice-president, as saying: “We are hoping that more and more of the components could be fabricated in Guyana.”

According to one of Reuters’ sources, ExxonMobil may choose a contractor to build its fourth FPSO within six months. As of press time, neither the US giant nor SBM Offshore had commented on the matter.