Japan-based floating production specialist MODEC Inc. has reported strong results for the first nine months of 2025, driven by a new contract with ExxonMobil Guyana Limited for the Hammerhead development in the Stabroek Block.
The company said orders received totaled US$8.4 billion for the period ending September 30, up 1,327% from the same period in 2024, mainly due to new floating production, storage and offloading (FPSO) contracts for Brazil’s Gato do Mato field and Guyana’s Hammerhead field.
This is the second FPSO MODEC is constructing for Guyana. The first was the Errea Wittu for the Uaru development.
“Orders received amounted to US$8,476,721 thousand (up 1327.0 % from YTD 3Q 2024) … including a new order from ExxonMobil Guyana Limited for the construction and operation and maintenance contracts of an FPSO for the Hammerhead field in the Stabroek block in Guyana,” the company’s earnings report, released on November 12, outlined.
MODEC received a limited notice to proceed in April 2025, enabling early design work while Exxon awaited project approvals for Hammerhead. Phase One, covering front-end engineering and design, has been completed, and the company has now advanced into full execution planning under Phase Two.
The Hammerhead FPSO is expected to begin operations in 2029. It will be designed to produce about 150,000 barrels of oil per day and handle associated gas and water. The plan includes a pipeline connecting the Gas-to-Energy pipeline to transport gas to shore. The FPSO will be moored in waters about 1,025 meters deep using a specialized offshore facilities & engineered components (SOFEC) spread mooring system. As with Uaru, MODEC will also provide ExxonMobil with 10 years of operations and maintenance services once Hammerhead reaches first oil.
MODEC’s order backlog climbed 47.4 % from the end of 2024 to reach US$19.08 billion. Revenue increased 11.9 % year-on-year to US$3.35 billion, supported by steady progress across ongoing FPSO construction projects.
MODEC said the broader market environment remains favorable for large-scale, ultra-deepwater projects, with oil companies “continuing to pursue projects to develop deepwater oil fields” despite price volatility between US$60 and US$70 per barrel.
MODEC noted that steady execution of FPSO projects and new orders in South America are expected to sustain its earnings momentum into the final quarter of the year.
