Floating energy solutions provider Höegh LNG has signed a long-term Floating Storage Regasification Unit (FSRU) contract with Global Energy Infrastructure Limited (GEIL) for the liquefied natural gas (LNG) import project in Port Qasim near Karachi, Pakistan.

The charter is for a period of 20 years with two five year extension options for charterer and is expected to generate an average annual EBITDA of around USD 36 million. The contract is subject to both parties’ board approval.

The project is the first private LNG import terminal in Pakistan and will be located at the LNG zone in Port Qasim. Back in September, GEIL signed a long-term LNG supply agreement with Qatargas.

“In addition to this major milestone, we have already executed a 1.3 MTPA for 20 years LNG supply with Qatargas. Furthermore, we are near signing an additional 3 MPTA of LNG supply with two major LNG producers as well as nearing to sign the EPC contract for the facility,” GEIL’s Group CEO Ahmet Caliskan said.

The construction of the terminal is planned to commence early 2017 and expected start-up is second quarter of 2018.

The FSRU will be provided from Höegh LNG’s portfolio of FSRUs, including units under construction, the planned conversion FSRU or from new FSRU’s on order.

”With this contract we have full contract coverage for our FSRU fleet of 9 units on the water and under construction,” Höegh LNG’s President and Chief Executive Officer, Sveinung J. S. Støhle, said.