May. 13, 2013

Estaleiros do Brasil Ltda. (EBR), a jointly owned Brazilian company by Toyo Engineering Corporation (TOYO, President and CEO Katsumoto Ishibashi) and SOG - Óleo e Gás S.A. (SOG) , a leading engineering company in Brazil, has been awarded an EPCI*1 contract to install topsides units for a Floating Production, Storage and Offloading (FPSO) system. The contract has been awarded from Petrobras Netherlands B.V., a subsidiary of Petróleo Brasileiro S.A. (Petrobras), a Brazilian state oil company.

This FPSO, called P-74, is scheduled to be deployed in 2016 to an offshore oil field located in the pre-salt layer under deep water in the Franco 1 area off the coast of Rio de Janeiro in Brazil.

EBR is primarily engaged in EPCI related to offshore facilities and is constructing yard facilities in Estado de Rio Grande do Sul in the southernmost part of Brazil in line with the policy of “increasing the ratio of local content” promoted by the Brazilian Government and Petrobras. The yard facilities will be used to assemble the modules*2 of the topsides and to integrate them on the hull.

Over the past 15 years, TOYO has more than 30 project experiences in Brazil. Now, TOYO is constructing the utility facilities for a refinery, a gas processing plant, etc. Petrobras has a target to increase oil and gas production from 2.4 million boed today to 5.2 million boed by 2020 and intends to deploy a number of FPSO units to develop its offshore resources providing a steady market for EBR.

*1) EPCI: Engineering, Procurement, Construction and Installation
*2) Module: The entire FPSO system is split functionally into module units. A system is normally split into approximately 20 modules, which are then assembled onshore individually and integrated on the hull.

Project Outline

Client Petrobras Netherland B.V., a subsidiary of Petroleo Brasileiro S.A. (Petrobras)
Contractor Estaleiros do Brasil Ltda (EBR), a Brazilian corporation and 100% subsidiary of TS Participações e Investimentos S.A. which is TOYO’s affiliate company accounted for by equity method (with a shareholding ratio of 50%). EBR is primarily engaged in EPCI for FPSO and other offshore facilities.
Field Franco 1 area, Brazil (off Rio de Janeiro)
Facilities Topsides of Floating Production Storage and Offloading (FPSO) Oil production facilities (150,000 barrels per day) and gas processing facilities (7 million cubic meters per day)
Scope Turnkey contract for engineering, procurement of equipment and materials, and manufacturing and installation of FPSO topsides
Start up Scheduled for 2016

Copyright © Toyo Engineering Corporation All rights reserved.