MODEC celebrates strategic relationship with Guyana

MODEC hosted a reception at the Guyana Marriott Hotel on February 2 to celebrate the start of construction of its first project in Guyana – the Floating Production, Storage and Offloading (FPSO) vessel Errea Wittu for ExxonMobil Guyana’s Uaru Project.
The centrepiece of this collaboration, the FPSO Errea Wittu, is a significant addition to MODEC’s portfolio.
According to MODEC, the vessel will have the company’s experience in construction and operation, and will have the most modern features in offshore production. It will be one of the most sustainable FPSOs in the world, using an energy production system with a combined-cycle turbine on board.
“MODEC reinforces its leading role by using this technology offshore. It recovers exhaust heat to produce steam, which is used to drive a steam turbine for supplementary power generation, increasing the overall efficiency of the energy cycle and reducing the emission of greenhouse gases (GHG). The impact of the FPSO extends beyond mere resource extraction; it embodies the company’s commitment to local content, prioritising skills transfer and Guyanese participation,” a release from the company stated.

MODEC has contracted three Guyanese companies – Guyana Oil and Gas Support Services (GOGSS); Asequith Guyana and ZECO Group of Services – to provide fabrication services for the vessel, with the prospect of further local collaboration, partnership, and multiple spin-off benefits.
The contract encompasses the Engineering, Procurement, Construction, and Installation (EPCI) of the FPSO. MODEC will also provide the operation and maintenance services for this unit for at least 10 years from first oil production.
The FPSO will be deployed approximately 200 kilometres offshore Guyana, at a water depth of 1690 metres and it will be able to store around two million barrels of crude oil.
MODEC group company, Offshore Frontier Solutions Pte Ltd (OFS) will be responsible for the engineering, procurement, and construction of the FPSO based on MODEC’s M350TM new-build hull. In addition, the platform will use a Spread Mooring System provided by SOFEC, another MODEC group company.
“The Uaru project stands as a testament to our dedication and ambition. It is not only one of our most significant endeavours but also a showcase of advanced technology and initiatives aimed at reducing greenhouse gas emissions. This project serves as a beacon, guiding us towards a future where sustainability and progress go hand in hand,” said MODEC’s Chief Operating Officer, Katsuyuki Imaizumi.
Guyana’s Foreign Secretary, Robert Persaud commended the activity which he said recognises collaboration.

Persaud remarked that MODEC’s collaboration with the local companies was in keeping with the Government’s thrust to ensure that the development, progress and activities of the oil and gas sector directly benefit Guyanese and Guyanese businesses.
He encouraged the Private Sector to see MODEC’s entrance into Guyana as a window to work closely with their Japanese counterpart and maximise opportunities.
Vice Chairman of the Private Sector Commission, Rafeek Khan said that the collaboration with ExxonMobil and MODEC sets the stage from the top for other companies to follow suit.