Malaysian oilfield services specialist Yinson Holdings said its client Canadian Natural Resources has terminated the contract for the floating production, storage and offloading vessel at the Olowi field in Gabon.
The contract was due to expire on 30 April 2019, having been entered into on 30 November 2006 for a fixed term of 10 years, starting on 1 May 2009.
Yinson said the notice of termination on the grounds of convenience, and Canadian Natural Resources had confirmed it would pay an early termination amount.
The demobilisation of the FPSO Allan is estimated to be 31 January 2019.
Yinson said the termination was not expected to have material adverse effect on the company’s earnings.