The Bacalhau field in Brazil has seen start-up of production as its operator, Equinor, along with partners ExxonMobil Brasil, Petrogal Brasil (JV Galp|Sinopec) and Pré-sal Petróleo SA (PPSA), achieved exceptional engineering feat.
“Around 70 million hours of work have been recorded in the project with solid safety results. I would like to sincerely thank our partners, suppliers, and employees for making this achievement a reality. With its size, water depth and lower carbon intensity, Bacalhau is a testament to our engineering capabilities and ability to operate internationally,” said Geir Tungesvik, Executive Vice President, Projects, Drilling and Procurement.
With recoverable reserves surpassing 1 billion barrels of oil equivalent (boe), Bacalhau is the largest international offshore field ever developed by Equinor.
"The safe start-up of Bacalhau marks a major milestone for Equinor. Bacalhau represents a new generation of projects that bring together scale, cost-efficiency and lower carbon intensity. With this development, we are strengthening the longevity of our oil and gas production and securing value creation for decades to come,” says Anders Opedal, President and CEO of Equinor.
Bacalhau is located in the pre-salt region of Brazil's Santos Basin in ultra-deep water exceeding 2,000 metres. The field features one of the most modern floating production storage and offloading vessels (FPSO) in the world, measuring 370 metres in length and 64 metres in width, with a production capacity of 220,000 barrels of oil per day (bpd).
About 19 wells, producers and injectors are set to be brought online in sequence as part of the Phase 1 development of the project ahead of ramp up and production sustenance work.
The Bacalhau FPSO is equipped with advanced carbon-reduction technology in the form of combined-cycle gas turbines (CCGT). With an expected CO₂ intensity of around 9 kg per boe, and advanced abatement across flaring, processing, power generation, and storage, the field sets a new benchmark for cost efficient and lower emission deepwater production.
“Brazil is a core area for us and Bacalhau will be a major contributorto Equinor’s goal of generating more than 5 billion dollars of free cashflow by 2030 from our international portfolio. Bacalhau will also deliver positive ripple effects and long-term benefits to Brazil´s economy, creating approximately 50,000 jobs over its 30-year lifetime,” said Philippe Mathieu, Executive Vice President for Exploration and Production International.
MODEC, the FPSO contractor, will operate the unit for the initial phase. Thereafter, Equinor plans to operate the Bacalhau facilities until end of the license period.
DOF Group ASA has secured two new long-term contracts with Brazil’s state-owned energy company Petrobras.
Skandi Chieftain and Skandi Olympia have been awarded four-year charters with the operator, with both contracts offering a combined value of approximately US$200mn. Both vessels will operate with one WROV and are expected to be delivered in October 2026.
The contracts followed the same competitive tender process that resulted in the award of Skandi Achiever, Skandi Carla, Geoholm and Skandi Salvador on the RSV 2024 tender.
Last month the Group was also awarded three service contracts for work in Brazil under Petrobras for subsea inspections as part of the operator’s subsea programme.
As part of consolidating its largest producing field, Petrobras has began contracting for the construction of the FPSO Buzios 12 for installation in the Santos Basin, in the state of Rio de Janeiro.
P-91, which will be the 12th platform assigned to the Buzios field, will be connected to 16 wells, including eight producers and eight alternating water and gas injectors, with a capacity to produce 180,000 barrels of oil per day and 12 million cubic meters of natural gas per day.
The development of Buzios 12 aims to expand the field's production and add economic value, in partnership with CNPC (China National Petroleum Corporation, 3.67%) and CNOOC (China National Offshore Oil Corp, 7.34%), with Petrobras as operator (88.99%).
Alongside systems to process and separate its own production, the new P-91 unit will also be capable of exporting gas produced on other platforms in the field that were not originally designed for gas export. The generated gas will be directed to the Boaventura Energy Complex in Itaborai via the Rota 3 gas pipeline until reaching the coast.
"Starting the contracting process for Búzios 12 on Petrobras' anniversary is symbolic: it demonstrates the strength of our innovative capacity and the work of generations of professionals committed to the country. This new unit expands the supply of natural gas to the Brazilian market, ensuring safe, competitive energy that's essential for a fair energy transition. The P-91 is designed with solutions to increase gas supply to the market, reduce emissions, and increase energy efficiency, reflecting Petrobras' raison d'être: generating wealth for Brazilian society responsibly and sustainably," said the company's president, Magda Chambriard.
Initiated by Petrobras, the Buzios 12 contracting process is driven by the BOT (Build-Operate-Transfer) model, in which the contractor is responsible for the design, construction, assembly, and operation of the asset for an initial period defined in the contract. Operation will subsequently be transferred to Petrobras.
Interested companies will have 180 days from the publication of the Request for Proposals (SEP) to submit their proposals. The SEP establishes a minimum local content percentage of 25%.
MODEC has been awarded an Engineering, Procurement, Construction, and Installation (EPCI) contract to develop a Floating Production Storage and Offloading (FPSO) vessel for ExxonMobil Guyana's Hammerhead Project offshore Guyana, following Final Investment Decision (FID).
Phase One of the contract, covering Front-End Engineering and Design (FEED), has already been completed.
“We are honoured to be entrusted with the full EPCI scope for Hammerhead. This award reflects MODEC’s integrated capabilities to design, build and operate—from concept and FEED through to safe execution and timely delivery of the project,” said Soichi Ide, head of Floating Production Solutions Business Unit of MODEC. “MODEC’s strategic relationship with ExxonMobil Guyana positions us to work with them and our stakeholders to create lasting value throughout the project lifecycle.”
The Hammerhead FPSO will have the initial annual average production of 150,000 barrels of oil per day (BOPD), along with associated gas and water. It will be moored at a water depth of approximately 1,025 metres.
The Hammerhead FPSO will be MODEC’s second for use in Guyana, following the Errea Wittu, which is currently being built for ExxonMobil Guyana’s Uaru project. As with the Uaru Project, MODEC will provide ExxonMobil with operations and maintenance services for the FPSO for 10 years from first oil.
The US$6.8 billion Hammerhead project, due to start up in 2029, is the seventh project on the Stabroek block, and will include 18 production and injection wells.
ExxonMobil is producing approximately 650,000 barrels of oil per day from the Stabroek block. With the recent successful startup of a fourth FPSO, the ONE GUYANA, the company anticipates growing production to more than 900,000 barrels of oil per day by the end of the year. Construction is underway for the fifth and sixth approved projects, Uaru and Whiptail, with Uaru anticipated to start production in 2026, and Whiptail is anticipated for startup in 2027.
ExxonMobil affiliate ExxonMobil Guyana Limited is operator and holds 45% interest in the Stabroek block. Hess Guyana Exploration Ltd. holds 30% interest, and CNOOC Petroleum Guyana Limited holds 25% interest.
Saipem has officially received the go-ahead from ExxonMobil Guyana Limited to commence full-scale operations for the Hammerhead oil field development project. This offshore venture, located around 1,000 metres deep in the Stabroek block off Guyana, is valued at approximately US$500mn.
The partnership between Saipem and ExxonMobil began earlier this year, when Saipem was granted a Limited Notice To Proceed (LNTP) on April 2, 2025. This initial step allowed Saipem to begin detailed engineering work and procure essential long-lead equipment. Now, following the necessary regulatory approvals and ExxonMobil’s final investment decision, Saipem is set to push ahead with the project, with offshore operations slated for 2028.
The scope of Saipem’s work will involve engineering, procurement, construction, and installation (EPCI) of key subsea infrastructure, including umbilical, riser, and flowline (SURF) structures. These components will be critical for the production facilities and the gas export system needed for the Hammerhead oil field. The project site is located approximately 200 km from the Guyanese coastline.
Saipem plans to deploy a range of specialised equipment for this ambitious project, including the Saipem FDS2 and the Shen Da, which is part of the company's chartered vessel fleet. The logistics will be managed through the Vreed-en-Hoop Shorebase Inc. (VEHSI), ensuring local job creation and business opportunities in Guyana.
With this major milestone, Saipem solidifies its strategic partnership with ExxonMobil in Guyana, further strengthening its presence in the region. Saipem’s commitment is also reflected in its previous contracts with ExxonMobil for other projects in the Stabroek block, including Liza Phase 1 and 2, Payara, Yellowtail, UARU, and Whiptail.
The energy technology company has been awarded a significant deal from Petrobras to suppler up to 50 subsea tree systems and associated services to support offshore oil and gas production across multiple fields in Brazil.
Under the agreement, Baker Hughes will manufacture Petrobras’ pre-salt standard subsea tress, as well as subsea distribution units, in-line trees and vertical connection systems, to enable safe, reliable and efficient production on the seafloor.
In addition, topside control cabinets will provide monitoring and control of subsea equipment from floating production storage and offloading vessels.
Amerino Gatti, Executive Vice President of Oilfield Services & Equipment at Baker Hughes, said, “Baker Hughes has a history of innovation and operational excellence throughout our decades of collaboration with Petrobras. This agreement opens new opportunities to accelerate growth in Brazil’s offshore energy sector, and we look forward to helping Petrobras efficiently and responsibly develop the hydrocarbon resources that power Latin America.”
The modern subsea systems will enhance recovery in fields including Albacora, Jubarte and Barracuda-Caratinga. They will also be deployed in more recent pre-salt developments, including the Mero and Buzios fields, to optimise production in new wells.
Global technology company SLB has announced a major contract with Petrobras to provide services and technology for up to 35 ultra-deepwater wells in the Santos Basin.
The wells target large oil and gas reserves beneath thick salt layers located up to 2,000 metres below the surface.
As part of its project scope, SLB will deploy advanced electric completions technologies and digital solutions that deliver precise, real-time production intelligence and improved reservoir management to produce the hard-to-access resources.
Paul Sims, President of Production Systems, SLB, said, “This will help Petrobras drive greater reliability, system uptime and production performance in those fields – supporting Brazil’s energy security and economic growth ambitions.”
Work is scheduled to begin by mid-2026 and will feature advanced services and technology for SLB’s completions portfolio, including the Electris high-flow-rate interval control valves.
OceanPact has signed a four-year contract with Petrobras worth R$310mn to charter the Ilha de Santana platform supply vessel.
The ship will be used for logistics and emergency response support for Petrobras along the Brazilian coastline.
Earlier this year OceanPact announced new contracts with Petrobras worth R$650mnto charter three oil spill response vessels to be used in operations off the Brazilian coast to provide emergency readiness in the event of environmental incidents.
Currently, OceanPact has a fleet of 28 vessels made up of oil spill response, ROV support, platform supply, research, multi-purpose support and anchor handling tug supply vessels, as well as othering a largest inventory of offshore emergency response equipment in Latin America.
To advance the Maromba field development offshore Brazil, BW Energy will refurbish and redeploy the Maromba floating production storage offloading vessel (FPSO).
The oil and gas operator, alongside China Export & Credit Insurance Corporation (Sinosure), has successfully completed a US$365mn project finance facility, to fund the vessel utilisation.
The company will also be acquiring the Super Gorilla class jack-up rig BW MAROMBA B rig via a short-term lease with Minsheng Financial Leasing Co.
The project finance facility was significantly oversubscribed and will cover approximately 80% of the total FPSO project cost and is provided by a syndicate comprising The Export-Import Bank of China (CEXIM), Abu Dhabi Commercial Bank PJSC (ADCB), Arab Banking Corporation B.S.C. (Bank ABC), National Bank of Fujairah (NBF), and Commercial Bank of Dubai (CBD). CEXIM, ADCB and Bank ABC acted as Mandated Lead Arrangers, and ADCB and Bank ABC acted as Structuring and Advisory and Documentation Banks. Bank ABC is also acting as Technical Advisory Bank.
The facility has an interest rate of SOFR plus a margin of 2.8%, and is structured as a project finance loan with progressive drawdowns during the construction period followed by a 6.5-year amortisation period after project completion. A commitment fee of 40% of the margin applies to undrawn amounts until completion.
“The closing of this financing marks an important milestone in the Maromba development, demonstrating our ability to secure competitive long-term funding and build strong relationships with a diversified group of new lenders from Middle East and Asia. Furthermore, it reflects our strategy of reusing existing production infrastructure, which not only reduces overall development costs and environmental footprint but also enables access to cost-effective ECA-based financing,” said Brice Morlot, CFO of BW Energy.
TechnipFMC has been awarded two subsea contracts by Petrobras for flexible pipe to be deployed in the Campos and Santos basins.
The first award is a substantial contract thought to be worth between US$250mn and US$500mn to design, engineer, and manufacture flexible gas injection risers. This high-technology solution will sustain reservoir pressure and enhance production efficiency through high-capacity gas reinjection in pre-salt formations in the Santos Basin.
The second award, which followed a competitive tender, is a ‘significant’ (US$75mn-US$250mn) contract to design, engineer, and manufacture flexible risers and flowlines for deployment on assets in the Campos Basin.
Jonathan Landes, president, Subsea at TechnipFMC, commented, “As Petrobras unlocks Brazil’s energy resources, we are proud to provide technology and expertise that support some of their most technically challenging projects. TechnipFMC is a subsea innovation leader and continues to advance flexible technology to support new projects and enhance value for its clients.”
Manufacturing will be carried out at TechnipFMC’s flexibles manufacturing facility in Açu, Brazil.
TechnipFMC has been involved in Brazil for nearly 70 years, and has extensive in-country operations, delivering advanced technological solutions while supporting the development of local economies.
In March, the company was awarded a major integrated Engineering, Procurement, Construction, and Installation (iEPCI) contract by Shell worth more than US$1bn for its Gato do Mato greenfield development offshore Brazil, utilising Subsea 2.0 configure-to-order (CTO) subsea production systems.
In September 2024, TechnipFMC was awarded two subsea contracts by Petrobras for the pre-salt fields offshore Brazil, the first todesign, engineer, and manufacture riser flexible pipe and the second to design, engineer, and manufacture subsea production systems to be deployed on the Atapu 2, Sepia 2, and Roncador projects.
Oceaneering International, Inc. recently announced that its Brazilian subsidiary, Marine Production Systems do Brasil LTDA (MPS), has secured multiple subsea robotics contracts with Petróleo Brasileiro S.A. (Petrobras). These contracts, awarded during the second quarter of 2025 after a competitive bidding process, are valued at approximately $180 million in total revenue.
Under these agreements, Oceaneering will supply work-class remotely operated vehicle (ROV) services, specialised tooling packages, and survey support on several anchor handling and ROV support vessels engaged in Petrobras projects off the coast of Brazil. The scope of work covers a wide range of offshore activities, including inspection, maintenance, repair, and decommissioning operations. Additionally, Oceaneering will provide services related to surface and subsea positioning, FPSO hook-ups, mooring inspections, and pile installations.
Each contract is set to last for four years, with options for possible extensions. Work under the contracts is expected to begin at various times throughout the third and fourth quarters of 2025 and continue into the first quarter of 2026.
Martin McDonald, Senior Vice President of Subsea Robotics at Oceaneering, commented: “As a global leader in ROV services, we are excited to further expand our presence in Brazil. These contracts provide visibility into our backlog over the next several years, reinforcing our outlook for resilient offshore energy markets. This visibility also allows us to strategically plan and allocate resources, ensuring safe, consistent, and reliable performance. We are proud to continue our support of Petrobras’ offshore projects and contributions to the development of Brazil’s energy sector.”
Oceaneering has been operating in Brazil for nearly 30 years. Through MPS, the company runs multiple facilities including centres for ROV, survey, subsea intervention tooling, and engineered solutions, along with an Onshore Remote Operations Centre in Macaé. The company also manages an umbilical manufacturing plant located in Niterói.
This press release contains forward-looking statements concerning anticipated revenue, contract durations, commencement dates, and work scopes. These statements are based on current expectations but are subject to risks and uncertainties, such as market conditions and counterparty performance. Actual results may differ materially from those projected. For more details on risks, refer to Oceaneering’s latest filings with the Securities and Exchange Commission.
Oceaneering is a global technology company providing engineered services, products, and robotic solutions to offshore energy, defence, aerospace, and manufacturing sectors.
ExxonMobil Guyana has started production at Yellowtail field, the fourth oil development in Guyana’s offshore Stabroek block.
Yellowtail’s ONE GUYANA floating production storage and offloading (FPSO) vessel joins the Destiny, Unity, and Prosperity FPSOs, bringing total installed capacity in Guyana to more than 900,000 barrels of oil per day.
“Yellowtail’s ahead-of-schedule startup is a significant milestone for ExxonMobil and the people of Guyana,” said Dan Ammann, President of ExxonMobil Upstream Company. “With Guyanese making up more than 67% of the country’s oil-and-gas workforce and over 2,000 local businesses engaged, this project reflects our deepening roots in the country and our shared commitment to long-term, inclusive growth.”
The ONE GUYANA is the largest FPSO on the Stabroek block to date, with an initial annual average production of 250,000 bopd and a storage capacity of two million barrels. Oil produced from the FPSO will be marketed as Golden Arrowhead crude.
By 2030, ExxonMobil Guyana expects to have total production capacity of 1.7 million oil equivalent barrels per day from eight developments.
ExxonMobil has experienced remarkable success in Guyana’s deepwater developments, achieving record production in 2024. In five years, the company has started up four complex offshore mega-projects under budget and ahead of schedule – while advancing plans for four additional projects by the end of the decade.
ExxonMobil Guyana Limited operates the Stabroek block and holds a 45% interest, with Hess Guyana Exploration Ltd. holding 30%, and CNOOC Petroleum Guyana Limited holding 25%.
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