Houston-based Oceaneering has announced the award of a five-year contract by Petrobras, potentially valued at up to $75 million. Oceaneering's Brazilian subsidiary, Marine Production Systems, will execute the contract, which involves the operation of three existing drill pipe riser (DPR) systems to support intervention and completion operations in Brazil.

As part of the contract, Oceaneering will replace the umbilicals on the existing systems in 2024. The replacement umbilicals are planned to be manufactured at Oceaneering's facility in Niteroi, Brazil. Field operations are expected to commence when the current contract expires or 18 months after the award.

Petrobras also holds an option to add a fourth DPR system by mid-December 2023, which would be scheduled to begin operations in June 2025.

Roderick A. Larson, President and CEO of Oceaneering, commented on the contract, saying, "Since winning the initial contract in 2018, we have greatly expanded our presence in Brazil and have leveraged our portfolio of services and products into other areas of the growing Brazilian market. We believe our strong performance under the original DPR contract and our expertise in control systems and umbilicals for the subsea industry were key elements to winning this contract."

This contract win solidifies Oceaneering's position in the Brazilian market and underscores its capabilities in supporting subsea operations for major clients like Petrobras.