LNG Croatia agrees FID

Thursday, 21 February 2019
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In accordance with planned deadlines for the construction of the floating LNG terminal on the Croatian Island of Krk, a final investment decision (FID) was agreed by LNG Croatia on 31st January, 2019.

The FID was adopted based on the results of the binding open season procedure, which determines the project’s future revenues, the capital expenditure forecasts in relation to the procurement procedures for an FSRU and EPC work, including the construction of a jetty with facilities and high-pressure connecting gas pipeline for the receiving LNG terminal, plus the required investment projections by the shareholders of LNG Croatia.

The procurement procedure for the FSRU was carried out in November, 2018. A bid from Golar was evaluated as the most economically advantageous. Golar offered a new conversion of an existing LNGC to an FSRU worth €159.6 mill.

The ‘Golar Viking’ LNGC, which was built in 2005, has been earmarked for the conversion project.

At the time of her delivery, which is scheduled between 30th September and 30th October, 2020, the FSRU will arrive at the terminal’s location from the shipyard as a new FSRU conversion in accordance with the highest technical and environmental protection standards.

The procurement procedure for the EPC of the jetty with facilities and connecting high-pressure gas pipeline for the receiving terminal was carried out in January, 2019.

LNG Croatia finished the binding process for booking the LNG terminals’ capacity - open Season procedure-, which resulted in capacity booking of around 0.52 bill cu m per annum.

In addition to a grant of €101.4 mill received from the European Commission, additional grant of €100 mill was received as per the Croatian Government's decision on financing the first phase of the project, which was adopted on 30th January, 2019. 

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