Yinson Production has priced $1.458 billion in senior secured notes to refinance existing debt associated with the Agogo FPSO offshore Angola, in a transaction the company described as the largest FPSO project bond to date.
The notes were issued by Yinson Azalea Production Pte. Ltd., which owns the Agogo FPSO. The vessel operates in Block 15/06 offshore Angola under a 15-year firm bareboat charter with Azule Energy Angola S.p.A., with extension options of up to five years.
The fully amortizing notes have a scheduled maturity of 13.3 years and were priced at 98.164% of their principal amount. They carry a fixed annual coupon of 6.517%, with interest payable semi-annually. Settlement is expected on 21 October 2026.
Proceeds from the offering will primarily be used to refinance outstanding debt related to the FPSO. The funds will also cover required reserve accounts, transaction expenses and equity distributions from excess proceeds.
According to Yinson Production’s official announcement, the transaction marks the company’s third FPSO project bond in three years.
The company also identified the offering as the first FPSO project bond issued outside Brazil.
Markus Wenker, Chief Financial Officer of Yinson Production, said the offering received strong support from institutional investors. He highlighted the transaction’s record size and its role in expanding FPSO project bond financing beyond Brazil.
The Agogo FPSO entered production in 2025 and has a crude oil production capacity of 120,000 barrels per day.
The vessel incorporates several technologies designed to reduce emissions from offshore production operations, including a closed flare system, hydrocarbon blanketing, combined-cycle technology, automated process controls and all-electric drives.
It also features what Yinson Production describes as the industry’s first pilot post-combustion carbon capture system installed on an FPSO.
According to the company, the combined technologies are expected to reduce carbon emissions from the Agogo FPSO by up to 27%.
