Yinson Production confirms first oil from its third FPSO in Brazil

Malaysia’s Yinson Production, a subsidiary of Kuala Lumpur-based energy infrastructure and technology company Yinson Holdings, has highlighted that its third floating production, storage, and offloading (FPSO) unit in Brazilian waters, which recently achieved first oil, will feature a carbon management process plant to decarbonize the FPSO operations in line with the firm’s sustainability goals.

The Malaysian player explains that this carbon management process plant, which is a part of the firm’s continuous sustainability efforts in curbing carbon emissions and becoming the front-runner in decarbonizing the FPSO industry towards net zero aspirations, utilizes fuel gas for cargo tank inertisation to significantly cut flare gas emissions through a closed flare system.

Yinson Production, which Brava Energia, former 3R Petroleum before the merger with Enauta, put in charge of the FPSO Atlanta for the Atlanta field’s Full Development System (FDS) redevelopment project in February 2022 as an engineering, procurement, construction, installation (EPCI) contractor, exercised its option to purchase the unit in July 2023.

The deal with a total contract value of up to $1.98 billion enables the FPSO to remain in operation at the Brazilian field for 15 years, but Brava Energia can also extend the unit’s stay further thanks to a five-year optional period for the supply and operations and maintenance.

Flemming Grønnegaard, Yinson Production’s Chief Executive Officer, commented: “We are proud to achieve first oil with FPSO Atlanta, marking another significant milestone in our partnership with Brava.

“This accomplishment showcases our commitment to delivering exceptional operational performance while prioritising sustainability and safety. Our team’s dedication and expertise have been instrumental in bringing this project to fruition, and we look forward to a successful 15-year charter.”

The FPSO Atlanta reached the first oil production milestone on December 31, 2024, at the Atlanta field in the Santos Basin off the coast of Brazil. This unit has a production capacity of 50,000 barrels of oil per day and a maximum storage capacity of 1.2 million barrels.

With a 72-hour test completed and final acceptance obtained from Brava Energia, the FPSO’s firm charter has started, with contracted day rates being paid to Yinson Production until 2039. The company also claims that the project achieved “an impressive safety milestone” of 9.8 million man-hours without lost time incident.

Décio Oddone, Brava Chief Executive Officer, emphasized: “The first oil from FPSO Atlanta is a notable milestone for Brava. We have worked hard to reach this moment. Brava is the first and only independent company in the country to develop a greenfield deepwater production system. This achievement is the result of the effort and dedication of our team over the years. We celebrate today and continue working to make Brava an even stronger company.”

The FPSO Atlanta, which has replaced the FPSO Petrojarl I that worked at the Atlanta field in block BS-4 since 2018, is the third asset in the Malaysian player’s fleet to operate in Brazil after the delivery of the FPSO Maria Quitéria in October 2024 and the FPSO Anna Nery in May 2023.

Scott Bendiksen, Yinson Production Project Manager, remarked: “The successful delivery of FPSO Atlanta is a testament to the collaborative spirit and resilience of our team and our contractors.

“We have achieved an impressive safety record and implemented innovative carbon-reducing solutions, demonstrating our focus on responsible operations. We are excited to continue supporting Brava Energia’s growth in the Brazilian market.”

Yinson Production and PTSC recently secured a provision, charter, operation, and maintenance of a floating storage and offloading (FSO) for an oilfield development project in Vietnam, where the duo also got a contract extension for the FPSO PTSC Lam Son.