Excelerate Energy commissions Bangladesh’s first LNG import terminal

The development comes approximately 25 months after the execution of project agreements, which took place in July 2016, with the state-owned Bangladesh Oil, Gas & Mineral Corp. (Petrobangla), and 13 months following the receipt of all permits required to achieve financial close in August 2017 with its lenders, led by the International Finance Corp. (IFC).

Located offshore Moheshkhali Island in the Bay of Bengal, the terminal has begun delivering natural gas to the Chittagong region of Bangladesh, marking the first time the country has received natural gas from the global market.

The new terminal enables Petrobangla to procure LNG from international natural gas markets and is expected to increase natural supply to the country by 20%.

“Moheshkhali LNG is a transformational project that will create a new market for energy supplies into the country, help diversify fuel sources and secure the much-needed additional natural gas to address power shortages in the country,” stated IFC Regional Head of Infrastructure, Asia, Hyun-Chan Cho.

In 2012, Excelerate began developing the MLNG terminal with the Bangladeshi government, which was seeking gas import infrastructure able to withstand the demanding operational conditions of the Bay of Bengal.

MLNG is the world’s first fully integrated turnkey FLNG terminal wherein all services – development, design, construction, installation, finance, and operation – are provided under a single contract by a single provider, Excelerate. Excelerate will own and operate the terminal for 15 years, after which the company will transfer ownership to Petrobangla.

The terminal includes the provision of Excelerate’s floating storage and regasification unit (FSRU), the Excellence. The FSRU has 138 000 m³ of LNG storage capacity and a base regasification capacity of 500 million standard ft³/d. LNG supplies will be delivered to the Excellence through periodic transfers from traditional LNG carriers.

Procurement and site preparation for the project began in September 2017, followed by the deployment and installation of the subsea plug and mooring system anchored offshore, the installation of a 7.5 km subsea pipeline to connect the terminal to the existing onshore pipeline, and the construction of port services vessels built for the unique conditions of the Bay of Bengal.

The LNG cargo used to commission MLNG was supplied by Qatargas Operating Co. Ltd (Qatargas).

Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/23082018/excelerate-energy-commissions-bangladeshs-first-lng-import-terminal/