Project update.29.04
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Project Update May, 2011
Transcript of Project update.29.04
Project UpdateMay, 2011
Açu Shipyard – Licensing
• Reference Term
• EIA filling
• Public Hearing
• Preliminary License
• Next steps:
• Installation License
• Beginning of Construction
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Açu Shipyard – Industrial District
A new cluster for Heavy Industry
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Açu Shipyard – Setup
Green curtain
Platforms construction areas
Modules construction areaDrydock and
effluent station treatment
Platforms assembling
area
Effluent treatment stationWater treatment station
A new cluster for Heavy Industry
Quay
FPSO Administrative buildings
Industrial Unit
Administrative buildings with Leed -US Green Building
Electric Substation 345 kV – 13.8 kV
Water treatment station
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Açu Shipyard – Advantages
1. Welding Savings with 18m steel plate: 56% less welding
• US$ 3.5 million cost saving and 28 days reduction in construction / FPSO • US$ 1.9 million and 24 days reduction in construction / WHP
20M 20M
Biguaçu Açu
2. Energy Savings : 30% reduction
Welding length: (18m x 8point) + 20m = 164m
2.4M 2.4M 2.4M 2.4M 2.4M 2.4M 2.4M 2.4M
18M
9M
9M
1 2 3 4 5 6 7 8 9
4M 4M 4M 4M 4M
18M1 2 3 4 5
WELDING LENGTH: (18M * 9POINT) + 20M = 182 M Welding lenght: (18m x 4point) =72m
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Açu Shipyard – Advantages
3. Weather conditions: 25% more sunny days with 5% efficiency increase per month at Açu
Site Rain/month Rain/year
Biguaçu 12 days 140 days
Açu 9 days 108 days
4. Soil Advantages : less foundation required
At Biguaçu we would invest US$ 371 million in order to upgrade the soil
At Açu we will invest US$ 142 million to upgrade the soil
The remaining US$ 229 million will be invested in the rock walls and channel construction, and the rest of the channel construction will be invested by LLX (US$ 219 million)
Açu 9 days 108 days
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Açu Shipyard – Advantages
5. Integration Slots : Up to 3,525m quay
Site FPSO JACKET
Biguaçu 6 6
Açu 8* 8
Increase 33% 33%
Expansion + Dry Dock
6. Proximity to Campos Basin ( ≈ 150Km)
FPSO / WHP traveling days to Campos Basin
Biguaçu: 4,5 days
Açu: 0,5 day
* If considering expanded layout with 3,525 m: 11 slots
Increase 33% 33%
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Açu Shipyard – Capex
Preliminary Budget - USD (MM) Total LLX OSX
Common Infrastructure 448 219 229
Investigation and Engineering 31 15 16
Civil Works 416 204 212
Offshore Dredging (854k m3) 111 55 56
Onshore Dredging (13,000k m3) 41 20 21
Break Water (2,300k m3) 264 129 135
Pre eng. costs + environmental 74 - 74
Civil works 447 - 447
Onshore Dredging (10,500k m3) 90 - 90
Quay (2,270 m) 262 - 262
Back area embankment (6,000k m3) 21 - 21
Site camp facility and management 74 - 74
Shipyard structure 544 - 544
Buildings 265 - 265
Dry Dock 133 - 133
Roads and Paving 146 - 146
Equipment and others 420 - 420
Total 1,933 219 1,7147
Current Order Book - OGX
EQUIPMENT CAPACITYESTIMATED CAPEX
US$ MMFIRST OIL
FPSO OSX1 80K bopd 610 3Q 2011
FPSO OSX2 100K bopd 775 3Q 2013
FPSO OSX3 100K bopd 800-850 3Q 2013
FPSO OSX4 100K bopd 850-900 3Q 2014
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FPSO OSX4 100K bopd 850-900 3Q 2014
FPSO OSX5 100K bopd 850-900 1Q 2015
WHP1 *30 wells 400-450 3Q 2013
WHP2 *30 wells 400-450 3Q 2013
Total 4,685 - 4,935
*18 wells for production,10 wells for water injection and 2 wells for gas injection
FPSO OSX 1
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FPSO OSX 1 – Customization
M350 New
M260 Mod.
M320 Mod.
M230 New
MODIFICATION WORK
NEW INSTALLATION
N160 Mod.
M200 New
M290 Mod.
M380 New
M400 Mod.
Central Pipe Rack Mod.
M430 Mod.
M220 Mod.
F110 Mod.
N130 Mod.
M250 New
M310 New
M280 Mod.
W140 Mod.
Hull / Engine Room Mod.
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FPSO OSX 1 – Customization
OSX 1 FPSO First Steel Cutting Ceremony Safety Briefing and Fire Drill Exercise
Module M380 Fabrication
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FPSO OSX 1 – Customization
Dimension Checks Staging for Painting Works for Fire Fighting System
Staging in Engine Room Staging for Painting Works for Fire Fighting System
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FPSO OSX 1 – CustomizationBuoy overview
Assembly Buoy – Turret – Turret TankAssembly Buoy – Turret – Turret Tank
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FPSO OSX 1 – Customization
65%
70%
75%
80%
85%
90%
95%
100%
FPSO OSX 1
Evolution of the Works
Purchase
Delivery in
Singapore
First Oil
PLANNEDPLANNED
ACTUALACTUAL
78.88%
76.92%
DEC/10
79.68%
79.06%
JAN/11
83.38%
80.88%
FEB/11
88.11%
84.47%
MAR/11
14
60%
65%
Planned Actual
FPSO OSX 1 – Operations Start Up
Personnel Admission
PLANNEDPLANNED
ACTUALACTUAL
37
37
DEC/10
49
44
JAN/10
50
46
FEB/11
58
61
MAR/11
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No. of employees
FPSO OSX 1 – Operations Start Up
6%
24%
27%
8%
Age
20 to 30 years
30 to 40 years
40 to 50 years
43%
27%
Experience time
Less than 20 years
20 to 30 years
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35%
40 to 50 years
50 to 60 years
Greater than or equal to
60 years30%
20 to 30 years
Greater than or equal to
30 years
FPSO OSX 2
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FPSO OSX 2
Expected Timeline
GTD
RFP
First oil
Status
3Q 2013
Construction Contract
• EPCIC ( Engineering, Procurement, Construction, Installation and Commissioning) contract executed with SBM Offshore
Long term debt commitment
• Proposals with 100% underwriting
• Mandated and with negotiated term sheet
• Debt/Equity Structure – 80/20
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FPSO’s OSX 3, OSX 4and OSX 5
FPSO’s OSX 3, OSX 4 and OSX 5Gemini Star Suhail Star
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• Two sister VLCC´s (Very Large Crude Oil Carriers)purchased on November, 2010
• Purchase price: USD 27 million / each
•VLCC Gemini Star received in January 13th, 2011 andVLCC Suhail Star received in February 22nd, 2011
• Purchased from Vela International Marine Limited(subsidiary of Saudi Aramco)
• OSX and OGX are studying the possibility of buildingOSX3 abroad , using the vessels for OSX4 and OSX5
WHP 1 and WHP 2
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WHP 1 and WHP 2
Expected Timeline
GTD
RFP
Platforms construction contract*
Status
ongoing
Construction and assembling of jackets*
• Letter of Intent executed with Techint
Drilling Package**
• Ongoing tender
• Proposals received on December 8th
from AKER, NOV, TTS e SEAWELL
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