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LNG cargoes would
arrive via a terminal
that the joint venture
has committed to
build in the port of
Barcarena.

Hygo Energy aims to strike

LNG supply deal with GdP

PROJECTS & HYGO Energy – a joint venture between Golar and piped to local thermal power plants (TPPs),
COMPANIES LNG and Stonepeak Infrastructure Partners, the company added. Some of the gas is likely to
both registered in Bermuda – is looking to go to Hygo’s 605-MW station in Pará State. This
strike a fuel supply deal with Companhia de Gás TPP, which secured a 25-year power purchase
do Pará (GdP), a Brazilian company that has a agreement (PPA) earlier this week, can consume
monopoly on natural gas distribution in the iso- the equivalent of 600,000 tonnes per year (tpy) of
lated northern state of Pará. LNG, Golar said.
In a statement dated October 14, Golar In a separate statement, the company Hygo hopes these
reported that Hygo and GdP had signed a mem- reported that Hygo had finalised the PPA on the
orandum of understanding (MoU) that lays the same day that it had agreed to terminate an MoU talks will lead to
groundwork for co-operation on this front. The signed in July with Norsk Hydro (Norway). That
MoU calls for the parties to assess the potential document outlined plans for LNG deliveries to the signing of a
of the gas market in Pará, which is home to the Alunorte, Norsk Hydro’s aluminium refinery in
mouth of the Amazon River, and then move on Barcarena. supply contract
to negotiations on gas deliveries. The statement on the signing of Hygo’s that would allow
Hygo hopes these talks will lead to the signing MoU with GdP follows the news that Brazil’s
of a supply contract that would allow it to deliver national oil company (NOC) Petrobras has it to deliver LNG
LNG to Pará. LNG cargoes would arrive via a rejected Golar’s bid for access to an underuti-
terminal that the joint venture has committed to lised LNG import facility in Bahia State. Petro- to Pará.
build in the port of Barcarena. The facility will bras said earlier in October that it had declined
serve as the only point of entry for gas shipments to accept a Golar subsidiary’s offer to lease the
into the state. Bahia LNG terminal, citing concerns about
This arrangement would allow Pará to gain excessive risk.
access to a source of cleaner-burning and less The NOC’s decision appears to have been
costly fuel, Golar said. “Hygo estimates the prompted by reports of Golar CEO Eduardo
potential for replacing approximately 1.8mn Antonello’s involvement in bribery charges.
tonnes of LNG equivalent per annum of LPG, Golar announced on October 12 that Antonello
diesel, fuel oil and coal from the [Barcarena] ter- was stepping down and would be replaced by
minal,” it said in its statement. Paul Hanrahan, the former president and CEO
LNG delivered to Barcarena can be regasified of US-based AES Corp.™

P16 www. NEWSBASE .com Week 41 16•October•2020