Uncategorized

Sepia FPSO will have only two Brazilian modules

07/30/18

Expectation is that the first platform for Mero will have similar volume of works executed in the country

The FPSO Carioca, destined for the Sepia field, should have only two modules manufactured and integrated in Brazil: the vapor recovery skids and the flare system. In the Brasfels package, which will carry out work in Angra dos Reis (RJ), there was the option to build the flare tower, but Modec did not confirm whether it will be exercised.

The final scope corresponds to that predicted in a second quotation made by Modec with Brazilian integrators. In the first, the company had also included two low pressure separation modules and an optional average cooling skid, but the process went no further.

The expectation is that the volume of works contracted in Brazil for Mero’s FPSO will be similar to that of the Sepia platform. “Modec is concentrating on closing the package [of Mero’s FPSO] abroad,” a source told Brasil Energia Petroleo.

As a result, the global local content of the units should be well below the rates established in the onerous assignment agreement and those defined after the approval of the Libra waiver, as published in February.

The reporter asked Modec what the global local content of the FPSOs would be, but the company said it could not make the information available by virtue of the confidentiality terms entered into in the contracts with Petrobras and suppliers.

“Modec understands, in fact, the importance of local content policy for Brazil and has a lot of experience working with Brazilian suppliers. We remain committed to working with these suppliers in order to follow the terms of the contracts signed in all our projects, “the company said.

In February, Petrobras stated that it has achieved local content rates above those required in the exploration-sharing agreement and has made efforts with suppliers to meet the nationalization requirements, including the FPSO, in the development phase of production.

The state-owned company added at the time that the onerous assignment agreement contains provisions for reviewing certain items, including local content indexes.

“This issue is among those to be negotiated by the respective negotiating committees, already constituted by Petrobras and the Government,” the company said.

“Break of agreement”

According to Sinaval’s vice president, Sérgio Bacci, the reduced national scope of Sepia and Mero FPSOs will represent, if confirmed, a breach of agreement. “We reached the consensus of 40%. But now they will prefer to pay the fine, “he says.

The union threatens to go to court, claiming that, contrary to the agreement, the ANP has been adopting a percentage of 25% for UEPs in the new bids and not the 40% established in the negotiations.

Source: Brazil Energy

Categories: Uncategorized

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