BW wins second Pakistan FSRU order

24 August 2016, Week 33 Issue 539

Pakistan’s GasPort has chosen Singapore’s BW Group to provide a second floating storage and regasification unit (FSRU). BW announced its selection on August 22 for the 15-year contract.

The company said it would use Hull No. 2118 for the project. The vessel is being converted at a yard in South Korea, with work being carried out by Samsung Heavy Industries (SHI). The FSRU will be delivered in the fourth quarter, BW said, and be commissioned at Port Qasim, in Karachi, by the end of June 2017.

It will have storage capacity of more than 170,000 cubic metres and peak regasification throughput of 750 million cubic feet (21.24 million cubic metres) per day.

“We are proud to be selected as the FSRU supplier for the Pakistan project,” said BW LNG’s managing director, Yngvil Asheim. “BW is a leading player in the LNG sector, and we will leverage on our many years of experience to support Pakistan as they build their second LNG terminal. We look forward to a strong partnership with Pakistan GasPort and to delivering our commitments on time and at the highest quality.”

GasPort’s chairman, Iqbal Ahmed, described the FSRU as a “vitally important infrastructure project”, going on to note that it would reduce Pakistan’s gas deficit by 30%. The unit will “ensure fuel for 3,600 MW of new power generation plants being constructed in Pakistan to reduce power outages by 80%, and save some US$1.5 billion in annual foreign-exchange savings.” GasPort is part of Pakistan’s Associated Group.

The first FSRU at Port Qasim was provided by Excelerate Energy. The unit loaded its first LNG cargo, from Qatar, in March 2015. The vessel can provide up to 690 mmcf (19.5 mcm) per day of gas to Sui Southern Gas’ pipeline system.

BW provided its first FSRU, the BW Singapore, to Egypt under a five-year contract. The North African state is likely to reduce the amount of gas it needs by the end of the decade, as it brings on additional domestic supplies. The longer-term contract for Pakistan makes clear that such a turnaround is not expected for supplies to Karachi.

Edited by

Andrew Kemp

Editor

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