Petrobras is moving forward with a pair of oil and gas projects valued together at $12 billion, with SBM Offshore on FPSO duty for both developments, Offshore-Energy.biz reports.

The award puts the Dutch floating production specialist at the center of two of Brazil's largest newbuild commitments. Petrobras has relied on SBM Offshore for much of its deepwater fleet, and the latest arrangement extends a contractor relationship that now spans most of the operator's recent high-capacity floaters.

What does the award cover?

SBM Offshore will supply the floating production, storage and offloading vessels for both projects in the $12-billion pair. FPSOs remain the workhorse configuration for Brazilian ultradeepwater output, and each unit typically represents a multi-billion-dollar EPC commitment in its own right.

The combined $12-billion price tag ranks the pair among the heavier investment decisions Petrobras has taken in its current offshore build-out. Offshore-Energy.biz frames the two schemes as moving “to life,” indicating the projects are advancing from planning toward execution.

Why does the Petrobras–SBM relationship matter?

SBM Offshore has delivered a string of production units for Petrobras fields in recent years, and repeat awards tend to shorten negotiation cycles and standardize hull and topside design. For a contractor carrying an order book of Brazilian floaters, dual-vessel scope from a single client concentrates both backlog and execution risk.

For Petrobras, contracting both FPSOs with one supplier supports its stated push to cut unit costs and compress delivery schedules across its portfolio. Industry analysts have long attributed the operator's deepwater economics to standardized floater design, though any judgment on cost performance for these two units will wait until steel is cut and delivery dates firm up.

What are the watch items?

The immediate markers to track:

• Final signing and disclosure of each FPSO's production capacity and delivery window
• Financing and schedule milestones for both projects within the $12-billion envelope
• Any follow-on contracts for subsea hardware, mooring, and offshore installation tied to the floaters

Startup timing — the number that converts an award into barrels — has not been disclosed in the initial report. As Petrobras releases contract details, capacity figures and first-oil targets will determine whether the pair sustains the production trajectory the operator has promised investors.

Rig & Refinery will follow the contract disclosures and schedule confirmations as Petrobras and SBM Offshore publish them.