An explosion onboard the vessel in 2015 killed nine crew members, and put the facility out of action.
It had been operating since 2009 for Petrobras on the Camarupim and Camarupim Norte fields in the post-salt Espirito Santo basin offshore Brazil.
The agreed settlement amount is around $250 million. The FPSO remains in lay-up – BW says final discussions and terms must be agreed with the client before determining when the vessel can return to the offshore location.
In a separate development, BW has signed an interim extension agreement for the FPSO Abo to remain working offshore Nigeria for Nigerian Agip Exploration until Jan. 20, 2017.
This secures operational continuity while joint work continues to conclude the negotiations.