Petrobras P-37 FPSO Decommissioning and Reuse Plan

Petrobras has received four bids for the decommissioning of the P-37 floating production, storage, and offloading (FPSO) vessel, which previously operated in the Marlim field within Brazil's Campos basin. The tender originally included both the P-37 and P-35 FPSOs under an engineering, procurement, removal, and disposal (EPRD) contract, but Petrobras removed the P-35 just before the final deadline. The company explained that this option was permissible under the tender documents, and it is now considering using the P-35 for extended well tests offshore Brazil.

Bidding Results and Leading Proposal

Industry sources indicate that local firm Relimpp Servicos Industriais submitted the winning bid at 205.9 million reais ($39.8 million). The other offers were: Gavea Logistica at 228.6 million reais, a partnership between Acu Port and Ocyan at 386.8 million reais, and the BNG Metalmecanica-IFM Construcoes consortium at 591.8 million reais. The contract scope includes not only EPRD activities but also the preservation and conditioning of the P-37's hull and equipment for potential future reuse.

Retrofit Feasibility and Hull Condition

Petrobras plans to have engineering studies completed by the time the EPRD contract is signed, which will determine the feasibility of retrofitting the P-37 hull for a new project. The company has set a key condition: any modernization project will only receive board approval if no more than 10,000 tonnes of steel plates from the hull require replacement. This retrofit initiative will consider projects in the Campos basin that were previously tendered for newbuild floaters.

Expected Use in Barracuda-Caratinga Revitalization

Petrobras is widely expected to use the P-37 hull in a future tender for a new unit aimed at revitalizing operations in the Barracuda-Caratinga field. The P-37 hull was originally fabricated in 1976 and converted into an FPSO in 1999. It produced oil for two decades in the Marlim field at a water depth of approximately 905 meters and has been in hibernation since 2019.