Kuala Lumpur (Reuters) – Malaysian oil field services firm Bumi Armada Bhd said it has secured $381 million worth of contract extensions for its floating production, storage and offloading (FPSO) vessel in the Oyo field located offshore Nigeria.
Bumi Armada said its subsidiaries signed two contracts with Oceanic Consultants Nigeria to continue chartering the FPSO and providing operational and maintenance services for the vessel.
Oceanic Consultants Nigeria will provide the FPSO and the related services to CAMAC Energy Inc, operator of the Oyo field.
The contracts run for seven years from January 1 2014 with an option to extend at a cost of $108 million, Bumi Armada said.
Camac currently has the unit on charter at its Oyo field in OML Block 120 off Nigeria where it produces 2000 barrels per day of oil and 40 million cubic feet per day of gas.
The oil company said it plans to utilise the FPSO on its Nigerian operations over the course of the extended charter contract.
The unit has a production capacity of 40,000 bpd and a storage capacity of 1.1 million barrels of oil.
The Bumi Armada FPSO has been deployed to work at the Oyo field since 2008 under contracts with previous operator Nigerian Agip Exploration Ltd which ended in December.