VAALCO Energy has partnered with DOF Subsea to perform subsea construction and installation services to support the subsea reconfiguration associated with the replacement of the existing floating production, storage and offloading unit (FPSO) with a floating storage and offloading vessel (FSO) at the Etame field, offshore Gabon
DOF Subsea will provide all personnel, crew and equipment necessary to assist with reconfiguring the Etame field subsea infrastructure to flow field production to the replacement FSO. Engineering and design work in relation to the field infrastructure upgrade has been completed with subsea work planned to commence in July and be completed before the FSO is operational in September 2022, as previously disclosed.
Major Highlights:
• Utilising a DOF Subsea offshore construction vessel to perform the work;
• Transporting more than 5,000 metres of new flexible pipelines from the UK to install in the Etame field;
• Performing the retrieval and relocation of existing in-field flowlines and umbilicals; and
• Assisting in the connection of new risers to the FSO.
George Maxwell, VAALCO’s CEO, commented, “We continue to estimate total capital conversion costs of US$40 to US$50mn gross (US$26 to US$32mn net to VAALCO), with annual projected operational cost savings of approximately US$20 to US$25mn gross per year (US$13 to US$16mn net to VAALCO) through 2030, giving the project a very attractive payback period of less than two and a half years. This project will significantly improve our margins, enhance our cash flow generation and sustain our operational excellence and robust financial performance at Etame through 2030.”
