New-build purchased FPSOs have been used by the Majors and NOCs for their mega offshore developments. But with costs for new-builds remaining robust, other development options like leased FPSO conversions are now being considered. Leased FPSOs tend to deliver improved rates of return. In addition, upfront capital is lower and ownership risks are carried by the FPSO contractor. But using a leased FPSO does not always translate to material increase in value. For large developments, operators can benefit from economies of scale and go for vessels that can optimise production and value. However, in this current environment, the simpler and cheaper VLCC option seems more attractive, but may result in a sub-optimal development.