MOL, Modec and Mitsui & Co are teaming up to provide a 900,000-barrel FPSO in Mexico.

Japan's MOL and Mitsui have invested in Area1 Mexico MV34, a Dutch company established by Modec to engage in FPSO leasing, operations and maintenance services.

Modec will retain a 35% stake, with Mitsui having the same holding and MOL 30%.

MV34 has a charter agreement with Eni Mexico, the operator of Area 1 block.

This runs for 15 years, with options for extensions every year up to five more years.

A project finance deal was signed on 12 April with Sumitomo Mitsui Banking Corporation, MUFG Bank, Mizuho Bank, Sumitomo Mitsui Trust Bank, Societe Generale, BNP Paribas, Oversea-Chinese Banking Corporation, Clifford Capital and Credit Industriel et Commercial.

"Mexico has seen numerous significant discoveries of expansive offshore oil fields in recent years, thereby giving rise to expectations of fresh demand for additional FPSO in the region," MOL said.

Construction of the FPSO is planned to be completed in 2021.

In 2018, MOL, Mitsui, Mitsui Engineering & Shipbuilding and Marubeni bought into a Modec FPSO project for Petrobras in Brazil. This was backed by a 21-year charter.