Keppel Offshore & Marine (Keppel O&M)'s wholly-owned subsidiary Keppel Shipyard has received final approval to commence full conversion works for the Gimi floating liquefaction vessel (FLNG) project.
The final notice to proceed (FNTP) from Gimi MS, a subsidiary of Golar LNG, allows Keppel to convert a moss LNG carrier into an FLNG vessel.
Under the $947m contract, Keppel will be responsible for the design, detailed engineering and procurement of the marine systems as well as conversion-related construction services.
Keppel O&M CEO Chris Ong said: “We are glad to continue this strong partnership with Golar on such a successful FLNG solution. The success of the Hilli Episeyo has provided the industry with strong proof of the attractiveness of Golar and Keppel’s conversion solution.
“This has further strengthened our offerings along the gas value chain. Leveraging our engineering as well as execution expertise and LNG capabilities, we are able to partner customers in developing innovative and fit-for-purpose solutions to meet the needs of the market.”
Keppel Shipyard will select Black & Veatch to provide design, procurement and commissioning support services for the topsides, as well as the liquefaction process.
Additionally, Gimi MS, which is 70% owned by Golar, has received a firm $700m underwritten financing commitment for the Gimi FLNG. Clifford Capital, ING Bank, Natixis and ABN Amro Bank served as facility underwriters.
Scheduled to enter service in 2022, the Gimi FLNG will use the Black & Veatch’s “Prico” liquefaction process to produce an average of approximately 2.5 million tons of LNG per annum.
As part of a 20-year lease and operate agreement (LOA) signed with BP, Golar LNG will charter the Gimi FLNG unit to serve the Greater Tortue Ahmeyim project.
The project is estimated to hold gas resources of around 15 trillion cubic feet.
The FLNG unit is to be located at an innovative nearshore hub located on the Mauritania and Senegal maritime border.
Earlier, Gimi MS has entered into a subscription agreement with First FLNG, an indirect wholly-owned subsidiary of Keppel Capital in respect of their participation in a 30% share of FLNG Gimi.