Sembcorp Marine, through its wholly-owned subsidiary, Sembcorp Marine Rigs & Floaters Pte Ltd, has secured an exclusive contract from Altera Infrastructure GP LLC, to undertake the Front-End Engineering Design (FEED) work for the Floating Production, Storage and Offloading (FPSO) facility for the Dorado project.

Located in the Bedout Sub-basin, offshore Western Australia, Dorado is an integrated oil and gas project which is expected to have an initial oil production of 75,000 to 100,000 barrels per day, with subsequent development of significant gas resources. Operated by Australian energy company, Santos Ltd, Dorado will be one of the lowest emission intensity oil and gas projects in the region, given its very low CO₂ reservoir with approximately 1.5 per cent CO₂ and plans for the reinjection of gas in the initial phase.

Sembcorp Marine Head of Rigs & Floaters Mr William Gu said, 
“We are excited to work with Altera Infrastructure and Santos to develop Dorado. The award of the FEED contract affirms Sembcorp Marine’s engineering, procurement and construction (EPC) capabilities, and reinforces our credentials as a leading engineering solutions provider for the offshore, marine and energy industries.”

The FEED work is expected to be completed by the second quarter of 2022. This is the Group’s third EPC project in collaboration with Altera Infrastructure, following the successful delivery of FPSO Pioneiro de Libra and FPSO Petrojarl Cidade de Itajai in 2017 and 2012 respectively.

The FEED contract is not expected to have any material impact on the net tangible assets and earnings per share of the Group for the year ending 31 December 2021.

Dorado

Dorado is an integrated oil and gas project which is planned to be developed in two phases. Phase 1 development involves the production of oil and condensate through a well head platform (WHP) and floating production, storage and offloading facility (FPSO). Phase 1 has an estimated gross capital cost of approximately US$2 billion.

Santos has an 80 per cent interest in the Dorado project and is operator. The remaining interest is held by Carnarvon Petroleum.

KeyFacts Energy Industry Directory: Sembcorp Marine   l   KeyFacts Energy: Carnarvon Petroleum Australia country profile   l   Santos Australia country profile