FPSO Chartering Project for Brazilian Offshore Field

Mitsui & Co., Ltd., Mitsui O.S.K. Lines, Ltd. & Marubeni Corporation to participate in Ultra-Deepwater FPSO Chartering Project for Brazilian Offshore Pre-Salt Oil Field MODEC, Inc.

Mitsui, MOL and Marubeni will invest in a long-term charter business operated by MODEC for the purpose of providing a floating production, storage, and offloading system (FPSO)  for use in the Iracema Norte area of a pre-salt oil field off the coast of Brazil.

Construction of the FPSO will involve the conversion of a VLCC (very large crude oil carrier), which will be renamed “FPSO Cidade de ITAGUAÍ MV26” upon its completion. It will be deployed to the Iracema Norte area of the BM-S-11 block off the coast of Brazil in the fourth quarter of 2015, and will be chartered to Tupi B.V. for 20 years under this chartering agreement signed in February 2013.

The area is part of a deepwater oil field located approximately 300 km south of Rio de Janeiro, Brazil. The oil is contained in the pre-salt layer approximately 5,000 m beneath the seabed

MODEC and Mitsui have already provided three FPSOs for pre-salt oil fields, and this will be their fourth pre-salt related FPSO chartering project. It is the third project of its type for MOL and the second for Marubeni.

The Schahin Group, the joint bidder with MODEC for this Project as the local partner in Brazil, plans to invest up to 15% in MV26 by the commencement of the FPSO charter.