Norwegian Golar Power Wins Tender for LNG Vessel for Croatian Gas Terminal

By 9 November 2018

ZAGREB, November 9, 2018 - LNG Croatia on Friday reported that it had selected a bid from the Norwegian Golar Power Limited company for the conversion of the existing LNG carrier to a Floating Storage and Regasification Unit (FSRU) vessel, which is valued at 159.6 million euro.

LNG Croatia received three bids during the procurement procedure and selected the Norwegian bid as the most advantageous.

Golar Power will deliver a new FSRU conversion vessel to the terminal site, which is in accordance with the highest technical and environmental protection standards, the company said on its web site.

Depending on the outcome of the Open Season procedure (obligatory capacity booking), which will close on 20 December 2018, and the adoption of a positive investment decision, the FSRU will be delivered between 30 September and 30 October 2020, in order for the terminal to be fully operational by 1 January 2021, the company said.

The selected FSRU vessel has a storage capacity of 140,000 cubic metres, with a nominal regasification capacity of 300,000 cubic metres of natural gas per hour, giving a yearly capacity of 2.6 billion cubic metres of gas, which is in accordance with the technical capacity of the gas transmission system of the Republic of Croatia.

Although the use of electro-chlorination does not have a negative environmental impact, given the local community's position, LNG will not use chlorine during the regasification process.

LNG Croatia has also considered solutions which enable mechanical cleaning of the system from marine growth which occurs due to the use of sea water, LNG Croatia said.

The more pressing issue for the LNG project in Croatia is the lack of interested future buyers of gas which is supposed to be delivered through the terminal. The Open Season procedure has been repeatedly extended due to the fact that no one seems to have applied to use the terminal if it is ever built.

For more on the LNG terminal which will perhaps be constructed in Croatia, click here.