An SBM Offshore joint venture has secured a loan of $1bn for the construction of the floating production, storage and offloading (FPSO) Cidade de Paraty.

The FPSO will be owned and operated by the joint venture, which comprises SBM Offshore with a 50.5% stake, QGOG with 20%, Nippon Yusen Kabushiki Kaisha with 17.5% and Itochu Corporation with 12%.

The SBM joint venture has also signed a 20-year agreement with the BM S-11 consortium to charter the FPSO for the development of the Lula Nordeste field, which is located 265km offshore Brazil in a water depth of 2,100m.

The BM S-11 consortium consists of Petrobras, which has a stake of 65%, BG Group with 25% and Galp Energia with 10%.

The FPSO consists of topside facilities to process 150,000bpd of production fluids, associated gas treatment for five million cubic metres per day and a water injection facility for 150,000bpd.