First LNG-to-power floating project begins operations off Indonesia port

Tuesday, 06 October 2020
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Turkish maritime infrastructure provider Karpowership has brought the world's first LNG-to-Power floating project into operation offshore Amurang in North Sulawesi in Indonesia as the vessel, the 125-megawatt “Powership Zeynep Sultan”, started generating electricity.

The “Powership Zeynep Sultan” was built to 1984 and originally operated on Marine Fuel Oil (MFO) but has recently been converted to have its engines and generators converted to dual-fuel with LNG capability.

“Our first LNG-to-power project is a success, the engines on ‘Powership Zeynep Sultan’ are beginning to run on LNG thanks to our supply from a partner’s floating storage and regasification unit,” said Karpowership.

“We aim to have 80 percent of our fleet running on LNG by 2025, providing more economic and environmental value to our partners,” said the Turkish company.

Karpowership is a subsidiary of the Turkish industrial group, Karadeniz Holding, whose Chief Executive is Orhan Remzi Karadeniz.

The Karpowership unit operates 25 floating power plants in about a dozen countries around the world and the Indonesian venture is the first in operating using LNG.

The LNG offshore Amurang is being converted via a small-scale floating storage and regasification unit (FSRU), the 14,000 cubic metres capacity vessel “Hua Xiang 8”, according to shipping data.

The small-scale FSRU was constructed in China in 2017 at the Qidong Fengshun yard for Zhejiang Huaxiang, a Chinese liquefied petroleum gas (LPG) market player with plans to build up a fleet of coastal LNG carriers of various sizes.

The FSRU is now working for PT Sulawesi Regas Satu, a joint venture comprising the government-owned utility company Perusahaan Listrik Negara (PLN) and Indonesian shipping company PT Humpuss, which said earlier in 2020 it was acquiring the Chinese FSRU.

The LNG-to-Power project has a gas supply agreement signed with Indonesian power company PLN and with volumes provided via Pertamina, the Indonesian stated-owned oil and natural gas company.

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