LNG

Excelerate Energy, the leading US provider of floating LNG import terminals, has extended a time-charter agreement with the Dubai Supply Authority for a floating storage and regasification unit deployed in the United Arab Emirates.

Excelerate said that prior to the deal the agreement for the FSRU “Explorer” had a remaining firm charter period of around three years.

Under the terms of the new agreement, the charter period will be extended by an additional five years from the end of the existing contract in the fourth quarter of 2025.

“Reaching an agreement on the extension of our time-charter agreement with DUSUP highlights our ongoing efforts to develop and grow our existing, diversified regasification business,” said Daniel Bustos, Chief Commercial Officer of Excelerate.

Revenues foundation

“Our current markets are essential to maintaining our solid foundation of revenues and providing new opportunities for downstream growth,” he added.

“We look forward to continuing our partnership with DUSUP and remain committed to providing Dubai with the critical energy security it needs,” stated Bustos. 

FSRUs are a preferred option for Middle East nations and there are other floating terminals currently in operation in Kuwait, Jordan and Israel.

Bahrain and Egypt also have the onshore and offshore infrastructure for FSRUs though have no new charter agreements in place.

The FSRU “Explorer” was chartered initially to Dubai in 2015 to complement existing supply sources and support the Emirate of Dubai's seasonal demand requirements.

The vessel is located at DUSUP's Jebel Ali port and has become an important part of Dubai's integrated supply infrastructure.

The UAE entered into its first long-term charter agreement with Excelerate in 2014 for a larger and more efficient FSRU to replace an existing regasification vessel.

Under that agreement, Excelerate customized the “Explorer” in 2015 to meet the DUSUP's higher supply requirements.

Excelerate had enhanced the vessel with the newest features including new high-pressure vaporizers and pumps installed to increase regasification send-out capacity from 690 million cubic feet per day to 1 billion cubic feet per day.

Excelerate Energy, the US pioneer of floating liquefied natural gas import terminals, said the FSRU “Exemplar” has returned to the Argentine port of Bahia Blanca to support the South American nation’s peak energy demand in the Southern Hemisphere winter.

“The ‘Exemplar’ has begun operations in Bahia Blanca, a port city located 400 miles south of the Argentine capital Buenos Aires,” said Excelerate.

The FSRU has storage capacity of 150,900 cubic metres and deliver regasified LNG for the 2021 winter season in Argentina, providing reliability and stability in the challenging conditions of the South Atlantic.

The vessel has been chartered for use by Integración Energética Sociedad Anónima (IEASA), previously known as Enarsa (Energía Argentina S.A.), a state-owned company and the national oil and gas company, and Yacimientos Petrolíferos Fiscales (YPF) S.A. to deliver an energy solution

“We are excited to return to Bahia Blanca and continue our partnership with IEASA and YPF to deliver an energy solution that is flexible, cost-effective, and environmentally-friendly during a critical period of peak demand,” said Daniel Bustos, Excelerate’s Chief Commercial Officer.

“We are confident the ‘Exemplar’ can perform again with our local Argentine crew to support the country’s energy transition and post-Covid economic recovery this winter,” added Bustos.

The return of the FSRU comes after Excelerate recently won an international, competitive tender for seasonal regasification service in Bahia Blanca.

Excelerate developed the Bahia Blanca GasPort, South America’s first LNG import terminal in 2008 and has also operated GNL Escobar, an LNG import terminal along the Paraná River, since 2011.

The Excelerate company has started FSRU-led import ventures in the US, South America, Asia and the Middle East and has its headquarters in The Woodlands in Houston in Texas.

It is part of a privately held US energy group founded by American businessman George Kaiser, who is also the majority shareholder of the publicly-traded Bank of Oklahoma. 

Excelerate Energy, the US floating liquefied natural gas terminal developer, has received permission to proceed with its Luzon LNG import project in the Bay of Batangas in the Philippines.

Argentina is set to change from being an importer to an exporter of liquefied natural gas and has initiated a study on the first liquefaction and export venture with US floating project specialist Excelerate Energy.