MODEC's FSO CIDADE DE MACAE MV15 sets sail for Brazil

Houston, Mar. 23, 2007

MODEC announced today that the FSO CIDADE DE MACAE MV15 has finished sea trials and has set sail for final installation offshore Brazil.

The FSO CIDADE DE MACAE MV15 will be part of the Planned Development and Distribution (PDET) offshore oil field facility, designed by PetrĂ³leo Brasileiro S.A. (Petrobras), to be the production hub for multiple floating production units in Campos Basin and will be part of one of the most sophisticated offshore oil distribution facilities in the world.

The FSO is capable of receiving up to 818,000 barrels of oil per day and has a storage capacity of approximately 2,150,000 barrels. She will be installed in approximately 100 meters water depth.

MODEC will own and operate the FSO under a 20-year agreement with Petrobras.

"We are very proud of this vessel," says Shashank Karve, President and CEO of MODEC International LLC. "She was converted from an ultra large crude carrier (ULCC) and is more than 420 meters long - one of the largest F(P)SOs in the world. The FSO CIDADE DE MACAE MV15 is fitted with one of the largest external turrets ever constructed, which was engineered and manufactured by SOFEC. She is a very impressive addition to our existing fleet of FPSO/FSOs."