Page 10 - GLNG Week 34

GLNG
NEWS IN BRIEF
GLNG
AFRICA
EXIM board votes to notify Congress of proposed $5bn financing to support US Exports to Mozambique LNG project
e board of directors of the Export-Import Bank of the United States (EXIM) today voted to notify the US Congress, pursuant to the EXIM charter, of its consideration of a $5 billion direct loan to support the export of
US goods and services from multiple states for the development and construction of an integrated lique ed natural gas (LNG) project located on the Afungi Peninsula in northern Mozambique.
At the conclusion of a 35-day congressional noti cation period, the transaction may be considered for a nal vote by EXIM’s board
of directors. Members of the public may also provide comments on the transaction by September 16.
If nally approved, the transaction would support US exports of goods and services for the engineering, procurement, and construction of the onshore LNG plant and related facilities. ese US exports are facing direct competition from nancing o ered by foreign export credit agencies.
EXIM’s nancing could support an estimated 16,400 American jobs over the ve-year construction period, including jobs at suppliers in Texas, Pennsylvania, Georgia, New York, Tennessee, Florida, and the District of Columbia. rough follow-on sales, thousands of additional jobs may be generated across the United States.
rough fees and interest earned, the transaction also could create more than $600
million in revenue for US taxpayers, according to EXIM projections.
e Mozambique LNG project would begin to develop the Rovuma Basin, one of the world’s most extensive untapped reserves of natural gas. e project is anticipated to have a transformative impact on Mozambique’s economy during the expected operational period of the project.
If nally approved, EXIM’s nancing would support US exports to the Area 1 concession of the Mozambique LNG project, which covers approximately 10,000 square kilometers and is anticipated to supply up
to 64 trillion cubic feet of gas. e borrower would be Mozambique LNG1 Financing Company, which is owned by a group of sponsors, including Anadarko Petroleum Company that was recently acquired by Occidental Petroleum Corporation.
THE EXPORT-IMPORT BANK OF THE UNITED STATES, August 22, 2019
AMERICAS
Haisla Nation, Seaspan strike LNG Canada tug deal
HaiSea Marine, a joint venture between the Haisla First Nation and Seaspan ULC, have announced the signing of a contract award with LNG Canada to design, build and operate escort tugs and harbour tugs. e tugs will serve LNG Canada’s export terminal in Kitimat, British Columbia, which is currently under construction.
e value of the contract award is roughly $500mn over a 12-year period.
“HaiSea Marine is majority-owned by the Haisla,” said the Haisla Nation’s Chief Councillor, Crystal Smith. “Our agreement with Seaspan ensures our members will have access to employment, training and
procurement opportunities on the contract with LNG Canada. e opportunity to work locally in the marine industry is of great signi cance to the Haisla people.”
Bene ts will also be available to the Gitxaala Nation and the Gitga’at Nation through a transit agreement with the Haisla, media reported.
Harbour tugs will provide berthing
and unberthing assistance to LNG carriers in Kitimat. e tugs will also provide transportation of material and personnel, marine emergency response, re ghting and oil pollution response.
Escort tugs will escort LNG carriers from Triple Island to the LNG Canada terminal, over a distance of around 159 nautical miles. e tugs still need to be built and are expected to go into service shortly before the LNG Canada project comes online, by the middle of the next decade.
Robert Allan, an independent, privately owned rm of consulting naval architects and marine engineers, has been contracted to design the tugs.
“Seaspan owns a large eet, has extensive new build experience and has the largest pool of tug masters and engineers in BC, providing us with the scale to train for and operate
the project in a cost-e cient manner,” said Seaspan Marine Transportation’s CEO, Frank Butzelaar. “Our innovative training and safety programmes ensure that HaiSea mariners will be well prepared to support the safest project on earth.”
Colombia’s TGI preparing bid for Pacific LNG
Colombia’s Transportadora de Gas Internacional (TGI) has said it expects bidding terms for the country’s second regasifcation project to be published this
year. TGI, a subsidiary of Grupo Energía de Bogotá (GEB), is in the running to secure a contract to build and operate the regas plant and associated pipeline. e facility is set to be located in the port city of Buenaventura.
“ e latest information we have is that
a call for bids will be issued in the fourth quarter, which is in line with the timetable set by [Energy Ministry planning unit] UPME,” TGI’s nancial director, Julio Alarcón, said on an earnings call. “With this in mind, we hope that the bidding process moves forward so that the plant can begin operating by 2023 and the gas duct by the end of 2025.”
e terminal is anticipated to cost $400mn, and will have the capacity to process up to 400mn cubic feet per day, as well as storing
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Week 34 29•August•2019