Page 13 - GLNG Week 46 2022

GLNG AMMERICAS GLNG

Sycar, PdVSA sign MoU

on FLNG project

CONTRACTS US-BASED Sycar reported last week that it invest in the South American country’s hydro-
had signed a memorandum of understanding carbon industry. (As of press time, no word was
(MoU) with Venezuela’s national oil company available on OFAC’s response to this request.)
(NoC) PdVSA on the development of an LNG Additionally, Sycar said it had already begun
export project. the process of seeking the necessary permits
In a statement, Sycar explained that the MoU for the project from the relevant Venezuelan
provided for the parties to work together to government agencies. It explained that it would
draw up plans for signing a long-term gas sup- need a marine concession and an environmental
ply agreement (GSA). Once such an agreement licence to operate the FLNG, which is slated for
is in place, it said, PdVSA will be able to deliver installation at an existing PdVSA facility known
natural gas from Venezuela to a floating LNG as the José Antonio Anzoátegui Petrochemical
(FLNG) vessel operated by Sycar. The FLNG unit Complex (CJAA).
will, in turn, be able to turn out LNG for export The company went on to say that it had
to Europe or to the LNG regasification facilities already carried out preliminary studies on the
that Sycar is building in other Latin American project. These studies indicate that metocean
countries, it noted. and oceanographic conditions are favourable
The company did not reveal the projected for operation of the FLNG unit at the CJAA site,
cost of this project or say how much gas the which is about 300 km east of Caracas.
FLNG vessel would be able to handle. It did state, Venezuela is not currently a producer of
though, that it had applied to the US Treasury LNG. The government of Trinidad and Tobago
Department’s Office of Foreign Asset Control has suggested that Venezuelan gas might serve
(OFAC) for special permission to engage in the in the future as feedstock for Train 1 of Atlantic
gas project in Venezuela without being subject LNG, which has been idle since 2020.™
to US sanctions, which penalise companies that

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