Page 12 - GLNG Week 47

GLNG
NEWS IN BRIEF
GLNG
AFRICA
FID on Mozambican import project coming in mid-2020
A final investment decision (FID) will be made around the middle of 2020 on a $3.15bn LNG project near Mozambique’s capital, Maputo, the partners in the scheme said this week.
France’s Total, Mozambique’s Matola Gas Co. (MCG) and South Africa’s Gigajoule
are partnering on the project, and signed an agreement on its development this week. This follows a memorandum of understanding (MoU) on the project that was signed in 2017.
The scheme involves a floating storage and regasification unit (FSRU) moored in Matola harbour. The unit will be connected to a new 2,000-MW gas-fired power plant nearby and to South Africa’s gas network. Total will supply the gas to the plant.
“[This] will accelerate the process which will enable a final investment decision to be taken by the middle of 2020,” the partners said in a joint statement. “The availability of a new source of much needed natural gas and power will fuel the economic growth in Mozambique and the Southern African region.”
Commercial operations at the terminal would start by the end of 2020 if the project goes ahead.
In July, concessions were awarded for the development and construction of the gas infrastructure and for the design, construction and operation for the power station.
The gas pipeline network, harbour infrastructure and connection to South Africa’s network are expected to cost around $350mn, while the cost of the power plant is
estimated at around $2.8bn. The plant will be constructed in phases.
The project would be located in a different part of Mozambique from the country’s three planned export terminals. Total is also leading the development of Mozambique LNG, on which an FID was taken earlier this year.
AMERICAS
Interim results for the
period ended September 30,
2019
Iain Ross, CEO, Golar LNG, said: “Further progress has been made this quarter toward the company’s goal of being the leading independent developer of long-term LNG infrastructure. Significant progress has been made on execution of the company’s downstream LNG distribution strategy and on strengthening the company’s financial position.
Continued strong growth in LNG production around the world and associated lower pricing together with customer’s increased focus on their ESG responsibility is also accelerating their appetite to switch from burning coal, fuel oil and diesel to cheaper and cleaner LNG.
The recent award of Golar Power’s second 25-year gas to power project supports our strategy to transform Golar into a world leading LNG infrastructure player delivering flexible energy solutions that provide much needed stability to an energy grid that has seen substantial renewable energy growth.
The Barcarena 605MW PPA award underpins the development of a second hub terminal in Brazil. This project, together with progress
on downstream distribution of LNG using spare FSRU capacity, transforms Golar
Power from a single project company into a business with significant and demonstrable growth potential. This potential will be realized through the introduction of new
and more efficient technology that can be integrated in a user-friendly way that makes
it easier for customers to switch to LNG. This approach will also facilitate bespoke solutions for smaller customers allowing for demand aggregation, something larger LNG producers have paid little attention to.
Increasing interest from oil majors and NOC’s, appreciative of our low cost and flexible FLNG solutions and impressed by our flawless operational track record is also encouraging. Part monetisation of a current contract and use of a shipyard able to offer more attractive payment terms provides the potential to lift additional FLNG projects.
The proposed shipping spin-off in its planned form, has, disappointingly for the Board, not yet been completed. This is due to a misalignment between the founding parties of the proposed newco causing Golar to withdraw from the process. Golar remains committed to splitting the ships into a separate vehicle and is revising the mechanism that it will use to achieve this.” GOLAR LNG, November 26, 2019
Cryogenic insulation market size worth $2.9bn by 2025; CAGR: 6.5%: Grand View Research
The global cryogenic insulation market size is expected to reach $2.9 billion by 2025, expanding at a CAGR of 6.5%, according to a new report by Grand View Research. Rising preference for low temperature insulation from various application industries including energy and power and metallurgy is likely to propel the market growth.
The growth of aerospace and space exploration industries across the economies
is anticipated to fuel the demand for cryogenic insulation systems. In addition, rising demand for LNG as an environment friendly alternative to the conventional energy resources has resulted in high demand for cryogenic engines, pipes, valves, and storage tanks.
Increasing R&D spending by the major players is expected to have positive impact
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Week 47 28•November•2019