Netherlands-based SBM Offshore, a provider of the design, construction, installation, and operation of offshore floating facilities, SBM Offshore and ExxonMobil Guyana Ltd, an affiliate of ExxonMobil Corporation, have completed the transaction related to the purchase of FPSO Liza Destiny, ahead of the maximum lease term, which would have expired in December 2029.
The purchase allows ExxonMobil Guyana to assume ownership of the unit while SBM Offshore will continue to operate and maintain the FPSO up to 2033.
The transaction comprises a total cash consideration of c. US$535 million. The net cash proceeds will primarily be used for the full repayment of the US$405 million project financing and as such will decrease SBM Offshore’s net debt position.
The FPSO Liza Destiny has been on hire since December 2019 and since 2023 has and will continue to be operated through the integrated operations and maintenance model combining SBM Offshore and ExxonMobil’s expertise and experience delivering outstanding operational performance.
ExxonMobil is the operator and holds a 45% interest in the Stabroek block, with Hess Guyana Exploration (30%) and CNOOC Petroleum Guyana (25%) as its partners. Since Hess is determined to merge with Chevron, the latter may become ExxonMobil’s new partner next year.