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Kwispaa LNG inks deal with HHI

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Hydrocarbon Engineering,

Kwispaa LNG has signed a contract with Hyundai Heavy Industries (HHI) for the Front-End Engineering and Design (FEED) of two At-Shore LNG™ hulls.

This follows the recent Invitation to tender to shortlisted engineering, procurement and construction (EPC) contractors for the FEED work on the At-Shore LNG topsides, marine facilities, pre-treatment, and balance of onshore plant facilities. EPC contractor tenderers include Black & Veatch / Samsung Heavy Industries / PCL Industrial Management Inc.; CB&I / Offshore Oil Engineering Co. Ltd. (COOEC); and TechnipFMC.

All FEED work is expected to commence in early 2019.

On 19 September at the Gastech Conference in Barcelona, Spain, representatives from Steelhead LNG, Huu-ay-aht First Nations, and HHI’s Shipbuilding Division formalised the contract for the design of two At-Shore LNG hulls as part of phase one of the Kwispaa LNG Project. Each hull is expected to measure 340 m in length and 60 m wide and feature five individual tanks that provide approximately 280 000 m of internal LNG storage.

“This agreement with Hyundai Heavy Industries for two At-Shore LNG hulls again demonstrates the technological innovation and creative solutions that we are developing as part of the Kwispaa LNG Project to offer Asia-Pacific buyers with cleaner and competitively priced LNG from Canada,” said Steelhead LNG CEO, Nigel Kuzemko. “Our goal is to help meet the world’s rising demand for LNG and reduce worldwide greenhouse gas emissions. At the same time, with our co-management partners, Huu-ay-aht First Nations, we are committed to working with all levels of government to realise the tremendous potential benefits the Kwispaa LNG Project can provide to local communities, British Columbia, and Canada.”

The award of this FEED contract is the start of the process leading to construction of two At-Shore LNG hulls at a total price of US$500 million. The contract secures the price for the future construction of the At-Shore LNG hulls and allows for fair price adjustments for certain defined parameters that could change throughout the FEED process.

“As a global leader in the ship-building industry, we are tremendously pleased to be partnering with Steelhead LNG for the design of the At-Shore LNG hulls for the Kwispaa LNG Project,” stated Hyundai Heavy Industries. “This agreement is a reflection of our world-leading technical and manufacturing capabilities, and we look forward to proceeding into FEED for this important project.”

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