Comprehensive  Ghana Oil and Gas news, information, updates, analysis


News in Brief

MODEC to manage FPSO despite sale to Ghana Jubilee partners

  • SOURCE: | Editor
  • Despite selling the Kwame Nkrumah Floating Production Storage Offloading (FPSO) to the Ghana Jubilee Partners, MODEC will still be working on the facility, according to Tulow Oil Plc.

    Tullow, on behalf of the Jubilee Partners also made up of the Ghana National Petroleum Corporation (GNPC), Kosmos Energy, Sabre Oil and Anadarko acquired ownership of the FPSO from MODEC on December 29, 2011.

    But the Japanese firm will still be providing services for the vessel – this time under a new contract, according to Jubilee operator Tullow.

    “MODEC will continue to provide operations and maintenance services under a new contract,” said Tullow in a statement January 18, 2012.

    However it did not give the value of the sale but according to a Reuters news report January 6, 2012, a source close to the deal put the value at $750 million.

    Tullow explains that the acquisition was made following the excellent performance of the vessel in 2011 and “reflects the Partners’ belief that ownership of the vessel will maximise commercial value and operational flexibility.”

    The World Bank’s Multilateral Investment Guarantee Agency (MIGA) was providing $225 million political risk insurance for the vessel per an agreement it had with MODEC. But in 2011 MODEC cancelled the insurnce, an official of MIGA told ghanabusinessnews.com in an email January 6, 2012.

    http://www.ghanabusinessnews.com/2012/01/19/modec-still-to-manage-fpso-despite-sale-to-ghana-jubilee-partners/

    Share this article

    Leave a reply

    Personality of the Month
    Poll

    Do you think the President should fund the free SHS with oil revenue?

    Follow Us Online
    About Us
    Reporting Oil and Gas project was launched on 4th June 2009 at Takoradi, Western Region, Ghana by Penplusbytes (www.penplusbytes.org) with the vision of providing a one stop online information and knowledge about Ghana’s oil and gas sector read more
    Events Calendar
    << Jun 2018 >>
    MTWTFSS
    28 29 30 31 1 2 3
    4 5 6 7 8 9 10
    11 12 13 14 15 16 17
    18 19 20 21 22 23 24
    25 26 27 28 29 30 1
    Twitter Activity Stream
     

    Partners We are proud to be associated with:

    Skip to toolbar