By Admin | Dated : 2019-09-10
Malaysia-based floating production storage and offloading (FPSO) provider Bumi Armada Berhad has sold its Armada Perdana FPSO for a disclosed price of USD 40 million.
The FPSO has been sold to Century Energy Services Limited (CESL), who plans to redeploy the vessel to another field in Nigeria.
The Armada Perdana FPSO has been out of contract in Nigeria since its previous charterer, Erin Petroleum Nigeria Ltd, along with its parent company Erin Energy Corporation, filed for bankruptcy under Chapter 11 of the US Bankruptcy Code in April 2018.
As outlined by Bumi Armada, CESL has already paid a portion of the deposit and is scheduled to pay for the FPSO in full within two years from the first oil date. To secure the unpaid portion of the purchase price, Bumi Armada will hold a mortgage over the Armada Perdana FPSO.
The company added that the sale of the Armada Perdana FPSO would absolve it from its demobilization obligations.