12 Floating production awards so far in 2022 – matching total for all of last year

Fossil Energy – Report EMA

According to Energy Maritime Associates (EMA) from Singapore 2022 is off to an unprecedented start, with twelve awards in the first four and a half months of the year: 5 FPSOs, 3 Production Semis, 2 FLNG, and 2 FSRUs.

With rising oil prices and increasing costs, field operators are moving quickly towards project sanction. They want to lock in rates and achieve first oil as soon as possible.

Since December 2021, six idle production units (excluding FSRUs) have been purchased: 4 FPSOs, 1 Semi, and 1 MOPU. All these units will be owned by field operators, although one may be converted into a lease (Yinson has an option to lease the OSX-2 FPSO to Enauta for 15-years).

These units had been idle from 1.8 – 8.3 years, with the longest being the OSX-2, which was completed in 2013 and never put into operation.

From EMA’s database of 190 projects in the planning pipeline, 31 projects were identified as most likely to be awarded within the next 12 months. These include 14 FPSOs, 7 FSRUs, 5 FSOs, 3 FLNGs, 1 Semi, and 1 Spar. Half of these FPSO orders would be leases, one or two BOT, and the rest EPC.

There could be up to five FPSOs awarded for Brazil and three for Angola, where an order was last placed in 2014. Multiple FSRU orders are expected throughout Europe, driven by the need for LNG as an alternative to Russian gas before winter.

See EMA’s latest report for full details.

Original Source: https://ocean-energyresources.com/2022/05/21/12-floating-production-awards-so-far-in-2022-matching-total-for-all-of-last-year/