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SBM is Authorized to Complete Acquisition of Constellation’s Stake in Five FPSOs in Brazil

Written by Paulo Nogueira
Published on 22/10/2019 at 13:30
Updated on 22/10/2019 at 13:35
SBM Constellation FPSOs no Brasi
FPSO Cidade de Paraty sail away from Brasfels shipyard_03.jpg
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SBM Was Already the Majority Shareholder of Related Entities and the Operator of These FPSOs and Was the Local Partner of Constellation in the Dispute for Petrobras’s FPSO Charter Contracts.

Dutch SBM Offshore received approval from Cade on Tuesday, October 22, to complete the acquisition of Constellation’s stake previously known as Queiroz Galvão Óleo e Gás SA. We at Clique Petróleo e Gás announced this Friday, the 18th, about the case, click here to understand.

There are a total of 5 FPSO vessels from Constellation operating in Brazil. The Administrative Council for Economic Defense (Cade) approved the transaction with no restrictions.

SBM Was Already the Majority Shareholder of Related Entities and the Operator of These FPSOs and Was the Local Partner of Constellation in the Dispute for Petrobras’s FPSO Charter Contracts.

The FPSOs are Cidade de Paraty, Cidade de Ilhabela, Cidade de Marica, Cidade de Saquarema, and Capixaba. Constellation’s stake in each of the FPSOs is 20%, 12.75%, 5%, 5%, and 20%, respectively.

“For SBM, it makes sense to acquire the FPSO assets, especially considering the sensitivity of chartering, maintenance, and operation of the FPSOs and the uncertainty of having a potential joint venture partner not chosen by SBM and with whom SBM does not have a good relationship”, SBM told the Council.

Constellation Starts Land Well Drilling in Amazonas

In the state of Amazonas, Constellation’s Drilling Rig VIII began operating its contract with Eneva for the drilling of wells in the Azulão Field. The announcement was made on the company’s social media profile on October 17.

The expectation is that 1,000 jobs will be generated in Roraima and another 1,000 jobs in Amazonas during this first phase of the project.

The company states, “For us, it is a pleasure to contribute to Eneva’s project for the development and production of gas for energy generation by the new thermal power plant of Jaguatirica II, to be installed also by Eneva, in the municipality of Boa Vista, Roraima”.

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Paulo Nogueira

Graduated in Electrical Engineering from one of the country's technical education institutions, the Instituto Federal Fluminense - IFF (formerly CEFET), he worked for several years in the offshore oil and gas, energy, and construction sectors. Today, with over 8,000 publications in online magazines and blogs on the energy sector, the focus is to provide real-time information on the Brazilian job market, macro and microeconomics, and entrepreneurship. For questions, suggestions, and corrections, please contact us at informe@clickpetroleoegas.com.br. Please note that we do not accept resumes at this contact.

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