SBM Offshore completes US$1.6 billion financing of Sepetiba

Rhea-AI Summary

SBM Offshore has successfully completed project financing for the FPSO Sepetiba amounting to US$1.6 billion, marking its largest financing deal to date. The financing was arranged by a consortium of 13 international banks and includes support from Export Credit Agencies. This FPSO is designed for high capacity operations, with a processing capability of 180,000 barrels of oil per day. It will be deployed in the Mero field, located in Brazil's Santos Basin, which hosts a consortium of major industry players.

Positive

• Secured US$1.6 billion in project financing, the largest in company history.
• Involvement of 13 international banks and insurance from Export Credit Agencies enhances financial stability.
• High processing capacity of 180,000 barrels of oil per day for FPSO Sepetiba.

Negative

• None.

September 16, 2021

SBM Offshore is pleased to announce it has completed the project financing of FPSO Sepetiba for a total of US1.6 billion, which is the largest project financing in the Company’s history.

The project financing was secured by a consortium of 13 international banks with insurance cover from Export Credit Agencies (ECA): Nippon Export and Investment Insurance (NEXI) and SACE S.p.A. A letter of intent was received from China Export & Credit Insurance Corporation (Sinosure) which intends to join this transaction by the end of the year and will replace a portion of the commercial banks’ commitments.

The facility is composed of four separate tranches with a 4.3% weighted average cost of debt, a fourteen-year post-completion maturity for the ECA covered tranches and a fifteen-year post-completion maturity on the uncovered tranches.

FPSO Sepetiba is owned and operated by a special purpose company owned by affiliated companies of SBM Offshore (64.5%) and its partners (35.5%). The vessel has a processing capacity of up to 180,000 barrels of oil per day, a water injection capacity of 250,000 barrels per day, associated gas treatment capacity of 12 million standard cubic meters per day and a minimum storage capacity of 1.4 million barrels of crude oil. The FPSO will be spread moored in approximately 2,000 meters water depth.

FPSO Sepetiba will be deployed at the Mero field in the Santos Basin offshore Brazil, 180 kilometers offshore Rio de Janeiro. The Libra block, where the Mero field is located, is under Production Sharing Agreement to a Consortium comprised of Petrobras, as the Operator, with 40 percent, Shell Brasil with 20 percent, TotalEnergies with 20 percent, CNODC with 10 percent and CNOOC Limited with 10 percent interest. The Consortium also has the participation of the state-owned company Pré-Sal Petróleo SA (PPSA), as manager of the Production Sharing Contract.

Corporate Profile

The Company’s main activities are the design, supply, installation, operation and the life extension of floating production solutions for the offshore energy industry over the full lifecycle. The Company is market leading in leased floating production systems, with multiple units currently in operation.

As of December 31, 2020, the Company employs approximately 4,570 people worldwide spread over offices in our key markets, operational shore bases and the offshore fleet of vessels.

SBM Offshore N.V. is a listed holding company headquartered in Amsterdam, the Netherlands. It holds direct and indirect interests in other companies.

Where references are made to SBM Offshore N.V. and /or its subsidiaries in general, or where no useful purpose is served by identifying the particular company or companies “SBM Offshore” or “the Company” are sometimes used for convenience.

For further information, please visit our website at www.sbmoffshore.com.

The Management Board
Amsterdam, the Netherlands, September 16, 2021

Financial Calendar	Date	Year
Trading Update 3Q 2021 – Press Release	November 11	2021
Full Year 2021 Earnings – Press Release	February 10	2022
Annual General Meeting	April 6	2022
Trading Update 1Q 2022 – Press Release	May 12	2022
Half Year 2022 Earnings – Press Release	August 4	2022

For further information, please contact:

Investor Relations
Bert-Jaap Dijkstra
Group Treasurer and IR

Mobile:	+31 (0) 6 21 14 10 17
E-mail:	bertjaap.dijkstra@sbmoffshore.com
Website:	www.sbmoffshore.com

Media Relations
Vincent Kempkes
Group Communications Director

Mobile:	+377 (0) 6 40 62 87 35
E-mail:	vincent.kempkes@sbmoffshore.com
Website:	www.sbmoffshore.com

Disclaimer

This press release contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation. Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements based on management’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance, or events to differ materially from those in such statements. Such forward-looking statements are subject to various risks and uncertainties, which may cause actual results and performance of the Company’s business to differ materially and adversely from the forward-looking statements. Certain such forward-looking statements can be identified by the use of forward-looking terminology such as “believes”, “may”, “will”, “should”, “would be”, “expects” or “anticipates” or similar expressions, or the negative thereof, or other variations thereof, or comparable terminology, or by discussions of strategy, plans, or intentions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this release as anticipated, believed, or expected. SBM Offshore NV does not intend, and does not assume any obligation, to update any industry information or forward-looking statements set forth in this release to reflect subsequent events or circumstances. Nothing in this press release shall be deemed an offer to sell, or a solicitation of an offer to buy, any securities.

Attachment

• SBM Offshore completes US$1.6 billion financing of Sepetiba

FAQ

What is the significance of the US$1.6 billion financing for SBM Offshore?

The US$1.6 billion financing for FPSO Sepetiba is SBM Offshore's largest project financing to date, indicating strong market confidence and financial backing.

Which banks are involved in the financing of FPSO Sepetiba?

The financing was secured by a consortium of 13 international banks.

What is the processing capacity of FPSO Sepetiba?

FPSO Sepetiba has a processing capacity of up to 180,000 barrels of oil per day.

Where will FPSO Sepetiba be deployed?

FPSO Sepetiba will be deployed at the Mero field in the Santos Basin, offshore Brazil.

What are the financial terms of the FPSO Sepetiba's financing?

The facility includes four tranches with a 4.3% weighted average cost of debt and a maturity period of 14 to 15 years post-completion.