
Under the contract, the firms will be responsible for the pre-FEED work will include proof of concept studies for developing floating LNG production/storage/offloading facilities for up to 6 million tons per annum (mtpa) of LNG at the site.
Bechtel offshore business line general manager Joe Gebara said: "The Bechtel team will apply its extensive offshore and LNG technical and execution knowledge and experience and 40 years working in Canada to develop Malahat LNG."
Work under the contract will start immediately with scheduled completion in spring 2016.
The scope of the pre-FEED work also will include establishing a basis of design required to support the FEED phase.
Steelhead LNG expects the engineering design and studies which will be carried out through pre-FEED to also support the environmental assessment and facilities permitting processes for the project.
The project comprises floating natural gas liquefaction and export facilities located on the shoreline of Malahat Nation-owned land.
Steelhead LNG CEO Nigel Kuzemko said: "Together, Höegh and Bechtel provide Malahat LNG with a unique combination of experience and expertise in maritime operations and the design and construction of LNG facilities."
In August, Steelhead LNG and the Malahat First Nation have announced the completion of a mutual benefits agreement and long-term lease supporting the proposed Malahat LNG development.
The Malahat LNG is designed to have a capacity of up to 6 mtpa.
Image: Announcement of Malahat LNG Project at Malahat Nation’s Kwunew Kwasun Cultural Resource Centre on 20 August. Photo: courtesy of Phil Ives.