The US-based specialist in floating LNG solutions Excelerate Energy, Bangladesh Oil, Gas and Mineral Corporation (Petrobangla), and the Government of Bangladesh have signed final agreements for the construction and operation of Bangladesh’s first LNG import terminal Moheshkhali Floating LNG.
The signing of the Terminal Use Agreement (TUA) and the Implementation Agreement (IA) marks the project start and the approval to move to implementation.
Located offshore near Moheshkhali Island in the Bay of Bengal, the terminal is expected to provide the infrastructure required for the country to access natural gas from global markets.
Moheshkhali Floating LNG, a result of the collaboration between Excelerate, Petrobangla, and IFC, a member of World Bank, is scheduled to start operation in 2018.
Excelerate Energy said it will fully develop, design, construct, install, finance, and operate the terminal for 15 years, after which the company will transfer ownership to Petrobangla. The company added that the terminal “will be the world’s first fully integrated turnkey floating LNG terminal.”
The terminal will include the provision of one of Excelerate’s existing floating storage and regasification units (FSRU), the installation of a subsea buoy system anchored offshore, and the employment of port service vessels during operation.
The FSRU will have 138,000 cubic meters of LNG storage capacity and a base regasification capacity of 500 million standard cubic feet per day, according to Excelerate.