The Dutch floating production solutions provider SBM Offshore has secured $465 million in project financing for the Chalchi floating storage and offloading (FSO) vessel currently under construction. This vessel will serve the Trion project operated by Woodside Energy in Mexican waters.
The financing is provided by a consortium of multiple international banks and institutional investors, with partial insurance coverage from China Export & Credit Insurance Corporation (Sinosure). The related loans will be drawn during the FSO's construction phase and will convert to non-recourse financing after the vessel becomes operational. The loan tenure extends to approximately 14 years post-completion.
The FSO Chalchi is currently under construction and will operate under a 20-year lease and operations contract with Woodside Energy Mexico S. de R.L. de C.V.. The vessel features a Suezmax hull and is equipped with a disconnectable turret mooring system designed by SBM Offshore. It will be deployed in waters approximately 2,500 meters deep and has a storage capacity of about 950,000 barrels of crude oil.
This FSO will serve the Trion oil field, located roughly 180 kilometers off the Mexican coast and 30 kilometers south of the maritime border between the United States and Mexico. The Trion project is being developed by operator Woodside (60%) in partnership with Pemex (40%).
SBM Offshore Chief Financial Officer Douglas Wood stated that this financing marks the company's first transaction combining support from commercial banks, institutional investors, and export credit agencies. It demonstrates SBM Offshore's capability to provide innovative long-term financing solutions for its clients.
Earlier in early June, SBM Offshore entered into a shareholders' agreement with its long-term partner NYK. The agreement involves the sale of a 45% ownership interest in the special purpose company related to the Chalchi FSO to NYK. SBM Offshore will remain the majority shareholder with a 55% stake. This transaction is still subject to several conditions precedent and approvals.
Comments