FPSO arrives in Senegal

First production planned for mid 2024

SENEGAL: Having departed from Singapore in December last year, the Léopold Sédar Senghor Floating Production Storage and Offloading (FPSO) facility has safely arrived offshore Senegal. The FPSO will be deployed approximately 100 kilometers south of Dakar as part of Senegal’s first offshore oil development.

The arrival of the FPSO from Singapore at its final destination marks the commencement of the next phase of the project: commissioning the FPSO and hooking up the 23 production, gas and water injection wells that make up the Sangomar Field.

“The FPSO arrival brings us closer to first production which is targeted for mid-2024. We are proud to be Senegal’s first offshore oil project and firmly believe that this project will prove to be important to Senegal’s future development and prosperity,” said Woodside CEO Meg O’Neill.

The Sangomar Field Development Phase 1 includes a stand-alone FPSO with subsea infrastructure and an expected production capacity of approximately 100,000 barrels/day.

The FPSO was previously a VLCC and was converted by MODEC into a fit for purpose FPSO suitable for use in the Sangomar Field in accordance with agreed specifications under an FPSO purchase contract entered into with Woodside. Over the last 12 months MODEC has been responsible for the topsides integration and shipyard pre-commissioning work undertaken in Singapore.

The FPSO will be capable of processing 100,000 barrels of crude oil per day, 145,000 barrels of water injection per day and will have minimum storage capacity of 1,300,000 barrels of crude oil.

The FPSO Léopold Sédar Senghor is MODEC's fifth FPSO to be delivered to West Africa. The company has some 30 years of operational experience in West Africa and currently operates two FPSOs in the region (Ghana and Côte d’Ivoire).

In terms of a sale and purchase agreement, Capricorn may become entitled to a contingent payment of either $25m or $50m if the average Brent oil price during the first six months of production exceeds the $55 per barrel or $60 per barrel thresholds and first oil is achieved in the first half of 2024.

First oil is defined as the first continuous 72-hour period of production from the Sangomar Field during which at least a total of 30,000 barrels is produced for sale. In either case, no additional payment will be due from Woodside if the average Brent price is less than or equal to $55 per barrel or if first oil is achieved later than H1/2024.