Petrobras, Excelerate ink Bahia LNG lease deal

Brazil’s state-owned energy firm Petrobras and Texas-based floating LNG player Excelerate Energy have signed the previously announced lease deal for the Bahia LNG terminal.

Petrobras said in a statement on Tuesday the deal has a price tag of 102 million reais ($18.7 million).

The lease contract includes the Bahia LNG regasification terminal and associated
facilities and it is effective until December 2023.

“The initiative is an important step in the process of opening and increasing the competitiveness of the natural gas segment in Brazil,” Petrobras said.

With the conclusion of the negotiation, Excelerate is seeking, with the support of Petrobras, the transfer of the licenses and authorizations necessary for the operation of a new FSRU at the facility.

As soon as the new company is able to operate, Petrobras said it would move the current regasification vessel from Bahia to the Pecem LNG regasification terminal in Ceara.

Excelerate said in August it would start importing liquefied natural gas via Brazil’s Bahia terminal following a tender process with Petrobras.

Also, the firm said it would deploy one of its existing FSRUs for service at the Bahia terminal.

The terminal’s capacity allows for regasification of up to 700 MMcf/d and includes a 45km pipeline with connections to two delivery points in the city of Salvador.

Excelerate has provided regasification services in Brazil since 2012, operating at Petrobras’ LNG terminals in Bahia, Guanabara Bay, and Pecem.

In September 2020, Excelerate’s FSRU Experience broke an industry record for send-out capacity by reaching 1.06 billion cubic feet at the Guanabara Bay LNG regasification terminal.

Most Popular

Venture Global’s CP2 LNG to start mobilization and site preparation

Venture Global LNG's CP2 LNG has received approval from the US FERC to start mobilization and other limited activities for the LNG project in Louisiana.

Atlantic LNG shipping rates continue to decrease

Atlantic LNG freight shipping rates continued to decrease this week, while European prices also dropped compared to last week.

Prime Infra to buy 60 percent stake in First Gen’s Batangas LNG terminal

First Gen has entered into a deal with Prime Infrastructure Capital under which the latter will acquire a 60 percent equity stake in First Gen's gas business in the Philippines, including the Batanagas LNG terminal.

More News Like This

Avenir LNG seals charter deal with Excelerate

UK-based small-scale firm Avenir LNG has secured a multi-year extension for its 7,500-cbm vessel Avenir Accolade with US FSRU player Excelerate Energy.

Excelerate wraps up acquisition of NFE’s Jamaica business

US FSRU player Excelerate Energy has completed its previously announced acquisition of New Fortress Energy's business in Jamaica for $1.055 billion.

Excelerate boosts net income in Q1

US FSRU player Excelerate Energy has increased its net income in the first quarter of this year compared to the same quarter last year and the prior quarter.

Excelerate raises more cash to fund acquisition of NFE’s Jamaica business

US FSRU player Excelerate Energy has raised about $26.4 million via an additional share sale. Excelerate has now raised about $1.01 billion to fund its acquisition of NFE’s business in Jamaica.