Exmar and LNG Partners unite to work on BC LNG project

Exmar and LNG Partners, LLC and LNG BarageCo BVBA have invested in a joint venture to charter a Floating Liquefaction & Storage Unit (FLSU), to be located on the West Bank of the Douglas Channel near Kitimat, British Columbia, Canada, following a letter of intent (LOI).

The FLSU is to serve the BC LNG project, which is on target to receive all approvals and permits by the end of the year and has already acquired its export permit.

Exmar will design and license a floating barge equipped with an aircooled PRICO ™ liquefaction plant with a nameplate capacity of 0.7 million tpy in the first quarter of 2016.

The unit will be chartered to the BC LNG, subject to the authorisation of the BC LNG Project Steering Committee, for a period of 20 years with two potential extension periods worth 5 years apiece. This plant, which will be the second of its kind (Exmar and Pacific Rubiales Energy (PRE) established a unit offshore Columbia), is designed to avoid dry-docking.

Within the guidelines of the LOI, Exmar Shipmanagement NV, an auxiliary of the EXMAR Group, will oversee receipt of and delivery of the LNG.

Speaking of the agreement, CEO of Exmar Nicholas Saverys, said: “BC LNG will be the first operational LNG export terminal in Canada and has an excellent location to serve the growing Asian markets. In cooperation with our partners on the PRE project, we are proud to provide a proven, cost efficient and fast track barge solution to the project.”

Extended partnership

To affix alliances, the two companies have established Marching Prospect Limited, which will acquire interests upstream of the FSLU. Saverys added: “We are very pleased to solidify our relationships with these wonderful people further by the establishment of our joint venture company, Marching Prospect, and our increasing role in the development the BC LNG Project.”

His opposite number, Tom Tatham, CEO of LNG partners, said: “I have always had the greatest respect for Nicolas Saverys and his colleagues at EXMAR. The joinder of EXMAR with LNG Partners and the other current participants in the BC LNG Project presents a formidable team for achieving the success of the Project.”

Edited from various sources by Ted Monroe

Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/05092013/exmar_and_lng_partners_charter_new_fslu_229/