Pemex reviews FPSO option as too costly

Studies: Pemex chief executive Juan Jose Suarez Coppel

BLOOMBERG

By Tom Darin Liskey

 02 August 2012 22:59 GMT

PEMEX may scrap plans to deploy a floating production, storage and offloading vessel at its flagship Ayatsil-Tekel heavy oil development in the Bay of Campeche off its native Mexico as rates on FPSOs have increased, making the project more expensive.

Instead, Pemex has returned to the drawing board to study other solutions, including a fixed structure to handle heavy crude pumped from the offshore heavy oil trend, Pemex and local industry sources confirmed.

“We are making a second analysis,” explained Pemex E&P director Carlos Morales Gil. “The cost of an FPSO has been driven higher by demand in the market.” Part of that drive in FPSO demand has been in the Brazilian pre-salt fairway and Asia’s offshore, making it difficult for Pemex to compete for the vessels. Pemex is undertaking an aggressive…

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