South Korean LNG project development company, EPIK has signed a strategic partnership agreement with Hyundai LNG Shipping.
This agreement lays down a framework for the two companies to work together in the development of FSRU projects worldwide, including, EPIK’s recently announced Newcastle LNG FSRU import project at Newcastle, NSW.
Jee Yoon, EPIK’s Founder and Managing Director, said, “Partnering with Hyundai LNG Shipping marks a key strategic milestone for EPIK, contributing significant expertise and support to the advancement of our flagship Newcastle LNG project.”
Hyundai LNG Shipping currently operates the largest LNGC fleet in South Korea with eight vessels and ships around 17% of all imported LNG to the country.
“EPIK has identified a significant opportunity for the NSW market with the Newcastle LNG project,” said KyuBong Lee, Hyundai LNG Shipping President and CEO. “We are thrilled to be partnering with EPIK at this critical stage of the company’s growth and look forward to building a strong and lasting relationship that will benefit all parties involved.”
EPIK’s Newcastle LNG project will include a 170,000 cu m capacity newbuilding FSRU and associated onshore infrastructure. The combined potential investment is estimated to be between $400 mill and $430 mill.
In addition to the import terminal, EPIK is exploring the possibility of adding gas related infrastructure for the NSW region, including potential gas-fired power and LNG bunkering facilities.
EPIK said that it expected to place an order for the FSRU subject to receiving the project’s regulatory approvals, which could be given by early 2020.