Enauta cancels acquisition of FPSO Cidade de Santos from MODEC

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

In December 2023, Enauta entered into a USD 48.5 million agreement with MODEC to purchase the FPSO Cidade de Santos, which operates in the Uruguá and Tambaú oil fields off the coast of Brazil.

The transaction follows an agreement signed by Enauta with Petrobras to acquire all shares in two oil fields located in the Santos Basin, approximately 160 km from Rio de Janeiro.

The FPSO unit, owned by MODEC subsidiary MV20, has been leased under a charter agreement by Petrobras since 2010.

The facility has a capacity to process 350 million cubic feet of gas per day and 25,000 barrels of oil per day and has a storage capacity of approximately 700,000 barrels.

According to Enauta, the termination of the FPSO contract with MODEC also provides for a 50% refund of costs to the Brazilian company, amounting to approximately USD 3.6 million.

Enauta added that it is in talks with Petrobras about the implications of this decision, given the ongoing acquisitions of the Uruguá and Tambaú oil and gas fields and the gas pipeline from these fields to the Mexilhão field, where it connects with the Route 1 pipeline.