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Petrobras sells FPSO for first-ever recycling in Brazil

Brazilian state-owned oil and gas company Petrobras has sold its P-32 floating, production, storage, and offloading (FPSO) vessel for recycling.

The P-32 FPSO, which worked on the Marlim field of the Campos Basin, was sold last week to steel company Gerdau and the Ecovix shipyard. The two will recycle the FPSO in an “environmentally sound” way with supervision by Petrobras.

Petrobras said that the sale started a new stage in the decommissioning industry in Brazil as this will be the first commercial vessel at the end of its lifecycle to be dismantled in Brazil.

“The sales process imposed technical criteria and requirements on bidders aimed at ensuring that recycling activities and the final disposal of metallic waste take place in line with the best ESG practices of the world industry,” the company stated.

The P-32 is a ‘victim’ of Petrobras’ Marlim and Voador revitalisation project. Namely, the Brazilian firm is replacing ten existing FPSOs with two new vessels – Anna Nery and Anita Garibaldi. The two new platforms can together produce up to 150,000 bpd.

Petrobras also made plans to retire at least 26 units over five years, with a projected investment of $9.8bn set for decommissioning alone.

“The units need to be decommissioned and we need to dispose of waste responsibly. As Brazil is an importer of this type of metallic material, we identified it as a good opportunity for the market, and we were able to promote a green destination for deactivated platforms and generate direct and indirect jobs within this process,” Petrobras’ director of engineering, technology, and innovation Carlos Travassos said.

Gerdau will now present the platform’s recycling plan, including all stages, from receiving the unit to the final disposal of waste. The Ecovix shipyard has an operating license for the dismantling activity and a contingency and emergency plan to ensure the best workplace safety practices.

Bojan Lepic

Bojan is an English language professor turned journalist with years of experience covering the energy industry with a focus on the oil, gas, and LNG industries as well as reporting on the rise of the energy transition. Previously, he had written for Navingo media group titles including Offshore Energy Today and LNG World News. Before joining Splash, Bojan worked as an editor for Rigzone online magazine.
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