Cedar LNG confirms FLNG order

Canada’s Pembina Pipeline and the Haisla Nation confirmed they had selected Samsung Heavy Industries and Black & Veatch to provide engineering, procurement, and construction for Cedar LNG’s floating LNG production unit.

Cedar LNG revealed the contract award in a statement issued on Thursday, adding that the contract remains subject to a final investment decision (FID).

LNG Prime reported on January 2 that Cedar LNG, the JV between Pembina and the Haisla Nation, was most likely the unidentified owner behind the $1.5 billion FLNG order at SHI.

SHI formed a consortium with US engineer Black & Veatch and signed an engineering, procurement, and construction (EPC) contract for the design, fabrication, and delivery of the FLNG.

The shipbuilder plans to deliver the unit by February 2028.

FID in Q1?

Cedar LNG said in the statement it now has major regulatory approvals, and it signed memorandums of understanding for long-term liquefaction services for the project’s total LNG capacity.

“With the achievement of this milestone, the project is at an advanced stage of planning and development with a FID expected by the end of the first quarter 2024,” it said.

Subject to a positive FID, onshore construction work for the project could start as early as the second quarter 2024, with the delivery of the FLNG and substantial completion expected in 2028, it said.

Pembina and the Haisla Nation each own 50 percent in the Cedar LNG project.

The $2.4 billion FLNG project will have a capacity of about 3 mtpa and will source natural gas from the prolific Montney resource play in northeast British Columbia.

Moreover, Cedar LNG plans to receive feed gas from the Coastal GasLink pipeline, which will supply the giant Shell-led LNG Canada export plant near Kitimat.

The floating LNG facility will also be located near the LNG Canada plant and will be powered by renewable electricity from BC Hydro.

Most Popular

South Korea’s Posco says first LNG carrier to start ops in H2

Posco International, a unit of South Korean steel producer Posco, plans to start shipping LNG with its first dedicated LNG carrier in the second half of this year.

Canada’s Cedar LNG names FLNG

Canada’s Cedar LNG, a joint venture of Canada’s Pembina Pipeline and the Haisla Nation, has picked a name for its floating LNG facility, which will be located in the traditional territory of the Haisla Nation, on Canada’s West Coast.

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.

More News Like This

Canada’s Cedar LNG names FLNG

Canada’s Cedar LNG, a joint venture of Canada’s Pembina Pipeline and the Haisla Nation, has picked a name for its floating LNG facility, which will be located in the traditional territory of the Haisla Nation, on Canada’s West Coast.

Pembina CEO sees enough demand for Cedar LNG expansion

Canada’s Pembina Pipeline sees enough demand for a potential second phase of the Cedar LNG project, according to Scott Burrows, president and CEO of Pembina.

Samsung Heavy develops new FLNG concept

South Korean shipbuilding giant Samsung Heavy Industries has received approvals from three classification societies for its new multi-purpose FLNG concept.

Wan Hai Lines makes LNG fuel switch for eight containerships

Taiwan's Wan Hai Lines has decided to change an order placed for methanol-ready containerships in South Korea to enable the vessels to run on LNG fuel, according to shipbuilding sources.