BW Offshore acquires FPSO to leverage redeployment opportunities

BW Offshore has entered into an agreement to acquire the floating production storage and offloading unit Nganhurra.

BW Offshore said the acquisition will secure, "a high-quality production unit in a market where comparable opportunities are becoming increasingly scarce."

The transaction includes a limited upfront payment, with additional consideration contingent upon the successful redeployment of the unit before June 2027.

BW Offshore said that, with project opportunities emerging over the next few years, having this asset, "enhances our ability to offer timely and competitive redeployment solutions to our clients, strengthening our strategic position relative to industry peers."

“The acquisition of the FPSO represents a strategic decision to capitalise on a compelling market opportunity," said Marco Beenen, CEO of BW Offshore. "Given the limited availability of suitable FPSOs for redeployment, securing this unit places BW Offshore in a strong, competitive position."

Nganhurra is a purpose-built FPSO constructed in 2006 and with a production capacity of 100,000 barrels per day and a storage capacity of 900,000 barrels. It operated offshore Western Australia until 2018 and was later laid up in Malaysia.

The unit’s mooring system supports operation across varied offshore conditions, enhancing flexibility and reducing costs for future redeployment.

BW Offshore said the unit will have minimal lay-up costs in addition to presenting limited downside risk from recycling, ensuring prudent capital management while the company assesses redeployment options.