UAE-based Mubadala Petroleum said it has awarded a major contract to UK-based Petrofac for the modification and extension of contracts related to the FPF-003 floating production, storage and offloading vessel, Jasmine FPSO, which paves the way for the continued extension of the field life of this successful development.

It is a wholly-owned subsidiary of Mubadala and a leading upstream oil and gas exploration and production company.
 
The parties have signed a new ‘life of field’ agreement for the provision of operations and maintenance (O&M) services, which has the potential to run until 2023.

An extension to the associated charter lease for the vessel’s Bareboat Charter, BBC, has been signed between Mubadala and PetroFirst Infrastructure Limited, said a statement from the Mubadala unit.

The new arrangements bring operational efficiency and optimise the scope to reflect current competitive market conditions, and will result in a significant reduction in operating costs for Jasmine, underpinning the continuing commercial viability of this mature field even in the current oil price environment.

They also provide for continuity in both offshore facilities and personnel, underpinning the field’s record of safe, reliable and efficient operations, it stated.

Commenting on the contract, Musabbeh Al Kaabi, the chief executive of Mubadala Petroleum, said: "We are pleased to be able to continue our relationship with Petrofac on the Jasmine field. The new arrangements will support the ongoing commerciality of the field as well as providing important continuity in this mature operation."

Jasmine field is operated by Mubadala Petroleum, which holds a 100 per cent interest. It boasts an average year-to-date production of 13,000 barrels of oil per day.

"Jasmine has been a remarkable success story, having produced over 60 million barrels, several times more than original estimates of recoverable reserves," stated Al Kaabi.
 
"We believe there is more to come but it is a complex set of reservoirs and a mature asset, so a competitive and flexible approach to operations is vital. Mubadala Petroleum will continue implementing and pursuing best in class practices to maximize value and oil recovery," he added.-TradeArabia News Service