LNG Partners opt for FLSU moored in Douglas Channel
The liquefied natural gas (LNG) carriers fleet owners Golar LNG, registered in Bermuda and managed from Norway, and Exmar from Belgium enter intense contest around the Douglas Channel LNG project headed by LNG Partners LLC and LNG BargeCo BVBA in British Columbia, on the west coast of Canada.
LNG Partners and Haisla First Nation established first the joint venture Douglas Channel Energy Partnership (DCEP) to submit all formal applications, set up the financing of the project and initiate the feasibility study of the BC LNG project.
The purpose of the BC LNG project is to install a floating liquefaction and storage unit (FLSU) along the west bank of the Douglas Channel at the south of the Half Moon Bay Marina in the Kitimat District on the Haisla First Nation asserted traditional territory in British Columbia.
In opting for this FLSU concept, LNG partners and Haisla First Nation minimize the environmental impact as they will use the existing Pacific Northern Gas (PNG) natural gas pipeline to supply the floating liquefaction unit.
Black and Veatch completed BC LNG project FEED
While selecting an ice-free zone on the sea, LNG Partners intends also to reduce costs in limiting additional infrastructures.
In addition to the FLSU, the BC LNG project will only require:
– Pipeline connection from the PNG gas pipeline to the FLSU
– Power-from-shore connection to supply electricity from the BC Hydro Minette substation
– LNG carrier berth
– Onshore utilities facilities
LNG partners and LNG BargeCo are now moving to the execution phase of the project in selecting the FLSU to be moored in the Douglas Channel.
In this perspective LNG Partners and LNG BargeCo extablished a new joint venture called Marching Prospect Ltd ( Marching).
Marching signed a letter of intend (LOI) with Exmar to charter an FLSU for a minimum of 20 years with the option for two times five years extension.
The Exmar proposed vessel should be a replicate of the FLSU allocated to the Pacific Rubbiales project and should have a
– Production capacity of 700,000 t/y of LNG
– Storage capacity of 20,000 cubic meter.
BC LNG FLSU construction to be awarded to Wison
Since the Pacific Rubbiales FLSU is currently under construction at the Wison Offshore & Marine shipyard in China, Exmar is likely to add the BC LNG FLSU in the queue.
Regardless the final decision of LNG Partners and Haisla First Nation between Golar LNG and Exmar, the BC LNG FLSU is estimated to require $400 million capital expenditure and is expected to start first shipment on 2016.