SBM Offshore has announced that ExxonMobil is likely to exercise its contractual purchase option early for the One Guyana Floating Production, Storage and Offloading (FPSO) vessel, which is currently operating in Guyana. This early acquisition is anticipated to occur in early 2026, well ahead of the maximum lease term's conclusion in August 2027.

Significance of the One Guyana FPSO

The One Guyana FPSO is the most recent and largest production unit in SBM Offshore's fleet operating in Guyana, with a nameplate production capacity of 250,000 barrels of oil per day. It achieved its first oil production in August 2025.

Financial and Operational Impact for SBM Offshore

The early purchase by ExxonMobil is characterized by SBM Offshore's CEO as a strong endorsement of its "sale and operate" business model. Under this model, ownership of the asset is transferred to the client, while SBM retains a long-term contract to provide operation and maintenance (O&M) services. This approach leverages the company's standardized Fast4Ward FPSO design and its cumulative operational experience. Financially, the early purchase will enable SBM Offshore to accelerate the reduction of its total debt by $1.7 billion, as the associated project loans will be repaid in 2026. This will positively impact the company's results and operating cash flow for that year. Following the sale, the contract will transition to an O&M-only basis, and SBM will update its project backlog accordingly.

Context of the Guyana Operations

This transaction continues a established pattern, as SBM Offshore has previously sold its three other operating FPSOs in Guyana—the Liza Unity, Liza Destiny, and Prosperity—to ExxonMobil. In each of these cases, SBM has retained a long-term operation and maintenance contract. The company has expressed satisfaction with the performance of all its assets in the region, noting that there are still margins for production ramp-up. Furthermore, SBM is currently constructing a fifth FPSO for ExxonMobil in Guyana, named the Jaguar, which is expected to achieve first oil in 2027.

This material is an AI-assisted summary based on publicly available sources and may contain inaccuracies. For the original and full details, please refer to the source link. Based on materials by Russell Searancke. All rights to the original text and images remain with their respective rights holders.