Statoil and Sinochem acquire Peregrino FPSO vessel from Maersk

Statoil (OSE: STL, NYSE: STO) and China's Sinochem have agreed to purchase Peregrino FPSO vessel from A.P Moller Maersk (OMX: MAERSK A, MAERSK B) for an undisclosed price. Peregrino vessel has a storage capacity of 1.6 million barrels of oil and it has been operating offshore Brazil in the Peregrino (formerly Chinook) field in the Campos Basin since last year following a 4-year project to convert the then very large crude carrier (VLCC) vessel to a complex offshore oil production installation. That investment cost in excess of 1 billion USD.

The two partners (Statoil has 60% stake in the field estimated to contain 2.3 billion boe) had an option to buy the vessel a few years in and with Maersk focusing on core operations, the time was right for such a move. The operation of the vessel will be taken over by FPSO contract BW Offshore (OSE: BWO) following a transition period. There are around 200 employees on the vessel and it has had a good safety record. Maersk says that the gain from the sale will not have a material impact on group results. The company still maintains two FPSOs and other units in its FPSO business.