The FSRU charter agreement signed on December 15, 2016 was intended for the FSRU #9 which is currently taking shape at Hyundai Heavy Industries (HHI) shipyard in South Korea.
Under the terms of the deal, the FSRU was intended for the GEI’s LNG import project in Port Qasim near Karachi, Pakistan.
The decision follows Höegh LNG’s announcement in its third quarter 2017 financial report that it was considering its options under the contract with GEI due to the withdrawal of the LNG sellers from the infrastructure consortium, and the delays to the original start-up date for the GEI project.
As explained by Höegh LNG, the contract was conditional on GEI putting in place the associated infrastructure required to connect the FSRU to the domestic pipeline grid.
As part of this process, a consortium consisting of Qatar Petroleum, ExxonMobil, Total, Mitsubishi and Höegh LNG was formed with the intention to build, finance and operate the infrastructure based on an agreement with GEI.
The consortium has spent considerable time and resources on finding its final form and structure, however by mid-November it has been concluded that no agreement with GEI could be found and the consortium has consequently been dissolved, Höegh LNG pointed out.
“Höegh LNG is involved in several ongoing processes for alternative employment for FSRU #9, which was originally intended for the GEI project, and the company remains optimistic that firm FSRU employment will be in place before delivery end 2018,” the company said.
Scheduled for delivery in the fourth quarter of 2018, the FSRU will have a storage capacity of 170,000 cubic meters and a max regasification capacity of 750 MMscf/day.
With a gross tonnage of 103,800 tons, the newbuilding will feature a length of 294 meters and a width of 46 meters.
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