Enauta Cancels Acquisition of FPSO Cidade de Santos from MODEC

(OE) Brazilian oil and gas company Enauta has terminated the contract to acquire the floating production, storage, and offloading (FPSO) unit Cidade de Santos from MODEC, announced in relation with the acquisition of Uruguá and Tambaú fields from Petrobras.

In December 2023, Enauta entered into $48.5 million agreement with MODEC to buy the FPSO Cidade de Santos, which is operating at Uruguá and Tambaú fields offshore Brazil.The deal followed the agreement Enauta signed with Petrobras to acquire the entire stakes of the two fields, located in the Santos Basin, some 160 km from Rio de Janeiro city.

The FPSO, owned by MODEC’s affiliate MV20, has been leased on a charter contract to Petrobras since 2010.It is capable of processing 350 million cubic feet per day of gas, 25,000 barrels of oil per day, and has a storage capacity of approximately 700,000 barrels.

According to Enauta, the termination of the contract with MODEC for the FPSO also provides for 50% reimbursement for the Brazilian company in the amount of around $3.6 million.

Enauta added it is in discussions with Petrobras the implications of the decision considering the ongoing acquisitions of Uruguá and Tambaú oil and gas fields and the natural gas pipeline from these fields to Mexilhão field, where it connects to Route 1 pipeline.