Golar Enters Into Agreements for Third Floating Liquefaction Facility
(Thomson Reuters ONE) -
Golar LNG Limited ("Golar" or "the Company") announced today that it has
executed agreements for conversion of the 126,000 m(3) LNG carrier Gandria to a
Golar floating liquefaction facility ("GoFLNG"). As with the GoFLNG Hilli and
Gimi conversions, the primary contract for the GoFLNG Gandria was entered into
with Singapore's Keppel Shipyard Limited ("Keppel"). The Gandria conversion
contract marks the exercise of the second of two options that formed part of the
initial 2014 Hilli conversion contract. Black & Veatch will provide its
licensed PRICO(®) technology, perform detailed engineering and process design,
specify and procure topside equipment, and provide commissioning support for the
GoFLNG topsides and liquefaction process.
The decision to go ahead with the third conversion project was taken following a
thorough review of the growing portfolio of business development opportunities
for GoFLNG. This has shown potential demand from several possible customers for
delivery of floating liquefaction facilities as early as 2018. In order to
respond to this potential, the Gandria conversion will now be dedicated to
satisfy the commitments to Ophir in Equatorial Guinea, covered by the agreement
announced in May this year, requiring delivery of GoFLNG facilities in 2019. In
parallel with this decision to commit Gandria to the Ophir project, Keppel and
Black & Veatch will now update their FEED study, accommodating the deep water
operation in Equatorial Guinea on the basis of Gandria. This move will release
the Gimi to cover the potential emerging demand for a 2018 GoFLNG project.
Provisions in the Gimi and Gandria contracts provide Golar the flexibility to
adjust project timing and to limit expenditure to front-end engineering
activities and long-lead equipment cancellation charges should timing and scope
of expected or potential projects change.
In the current low oil and gas price environment the use of the GoFLNG concept
to develop stranded and associated gas on a fast-track basis has gained momentum
as a solution with potential to provide early and robust returns for resource
developers and host governments. The GoFLNG business model with a fixed tariff
structure reduces the project execution and capex risks for the resource holder
and provides a flexible alternative when compared to development of more
conventional long lead-time, capital intensive, land-based LNG facilities.
By September 21(st), prior to which certain conditions precedent must be
satisfied, the GoFLNG Gandria conversion contract will become effective. To
achieve effectiveness, Golar will make an initial payment to Keppel and Black &
Veatch and will have until December 2016 to issue a full notice to proceed with
the conversion. As with the Gimi conversion contract, the Gandria contract
provides similar beneficial cancellation provisions, which if exercised before
December 2016 will allow termination of the contracts after deduction of a set
cancellation fee. Additional contract flexibility allows for Golar to determine
when Black & Veatch place orders for certain long-lead items. This will enable
Golar to substantially reduce the initial payment due prior to contract
effectiveness relative to the $50 million paid upon making the Gimi conversion
contract effective.
The recently announced financing for the Hilli project and the flexible terms in
the yard contracts for the Gimi and Gandria projects mean that Golar does not
expect to raise any additional equity in connection with the ordering of the
GoFLNG Gandria. Currently Golar is working with a schedule which includes
delivery of GoFLNG Hilli in Q1 2017, GoFLNG Gimi around mid-year 2018, and
GoFLNG Gandria H1-2019. This schedule assumes that the Perenco contract is fully
executed before September 30, 2015 and that the Ophir contract is executed prior
to June 30, 2016.
In addition to signing the third contract, Golar, Keppel and Black & Veatch have
agreed to work out acceptable structures for further GoFLNG facilities which
make it possible to capitalize on the experience gained to date, preserve the
current industry first mover position and continue to develop a powerful growth
strategy.
FORWARD LOOKING STATEMENTS
This press release contains certain forward-looking statements concerning future
events and Golar's operations, performance and financial condition. Forward-
looking statements include, without limitation, any statement that may predict,
forecast, indicate or imply future results, performance or achievements, and may
contain the words "believe", "anticipate", "expect", "estimate", "project",
"will be", "will continue", "will likely result", "plan", "intend" or words or
phrases of similar meanings. These statements involve known and unknown risks
and are based upon a number of assumptions and estimates that are inherently
subject to significant uncertainties and contingencies, many of which are beyond
Golar's control. Actual results may differ materially from those expressed or
implied by such forward-looking statements.
Hamilton, Bermuda
July 21, 2015
Enquiries:
Golar Management Limited: + 44 207 063 7900
Brian Tienzo
Stuart Buchanan
This announcement is distributed by GlobeNewswire on behalf of
GlobeNewswire clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Golar LNG via GlobeNewswire
[HUG#1940318]
Unternehmensinformation / Kurzprofil:
Datum: 21.07.2015 - 23:00 Uhr
Sprache: Deutsch
News-ID 408287
Anzahl Zeichen: 6441
contact information:
Town:
Hamilton
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 211 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Golar Enters Into Agreements for Third Floating Liquefaction Facility"
steht unter der journalistisch-redaktionellen Verantwortung von
Golar LNG (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
