FPSO operator BW Offshore has signed an extension agreement for the lease and operation of the FPSO Abo with Nigerian Agip Exploration Ltd, a subsidiary of Italian oil major Eni.
BW Offshore said on Tuesday that the extension with Agip would last until March 31, 2019.
The company signed an interim extension agreement for the Abo FPSO with Agip on March 31 with an expiry date on April 30, 2018.
According to BW Offshore, the short-term extension in March was agreed to secure operational continuity while joint work is continuing to conclude the negotiations for a long-term deal.
The company added on Tuesday that the contract comprises a firm period of two months and a nine-month further extension period on the same terms.
Abo FPSO has a storage capacity of 930,000 barrels of oil and oil treatment capacity of up to 45,000 bopd, a water injection capacity of 30,000 bwpd and a gas compression capacity of 48,4 mmscfd.
The FPSO Abo has been working on the Abo field offshore Nigeria with Agip since the beginning of production in 2003. The field is located in the OML 125 license some 40 kilometers off the Nigerian coast on the western edge of the Niger Delta, at a water depth of 550 m to 1,100 m.
Agip Exploration is the operator of the field with 85 percent interest, and Oando is the partner with 15 percent interest.
Offshore Energy Today Staff