Yinson Production secures over $1b refinancing for FPSO

Singapore-based Yinson Production has confirmed the placement of the US$1.168 billion 144A/Reg S senior secured notes issued by Yinson Bergenia Production.

The issuer owns the floating production, storage and offloading vessel (FPSO) Maria Quitéria, which is operating under a 22.5-year lease and operate contract with Petrobras in the Jubarte field offshore Brazil.

The notes are fully amortising with a final maturity of 19.6 years and were priced at a fixed coupon of 8.498 per cent, payable semi-annually.

The proceeds from the transaction will be used to, inter alia, refinance the existing outstanding debt related to the FPSO, fund reserve accounts as required under the new bond issue (unless funded by letters of credit), pay for transaction-related fees and expenses, and for distributions to Yinson Production as shareholder of the issuer.

The notes are expected to settle on July 7, 2025, and will subsequently be listed on the London Stock Exchange’s International Securities Market.

Markus Wenker, Chief Financial Officer of Yinson Production, said this is the largest and longest-dated FPSO project bond ever issued.