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

Venture Global, Petronas seal 20-year LNG SPA

US LNG exporter Venture Global LNG has signed a 20-year LNG supply contract with Malaysian energy giant Petronas for volumes from the CP2 project in Louisiana.

Golden Pass LNG seeks re-export approval

Golden Pass LNG, a joint venture owned by energy giants QatarEnergy and ExxonMobil, is seeking approval from the US DOE to export previously imported LNG from October, as it nears the launch of the first liquefaction train.

TPDC, Energetech Tantel to develop Tanzanian small-scale LNG plant

State-run Tanzania Petroleum Development Corporation has signed a memorandum of understanding with Energetech Tantel to develop what they say is Tanzania's first small-scale LNG plant.

More News Like This

Delfin inks new deals for US FLNG project, eyes FID later this year

Delfin Midstream, the US developer of a floating LNG export project offshore Louisiana, is moving forward with the project by signing new deals with Siemens Energy, Samsung Heavy, and Black & Veatch.

Samsung Heavy cancels LNG carrier contract with Russia’s Zvezda

South Korean shipbuilding giant Samsung Heavy Industries has terminated contracts for 10 ice-class Arc7 LNG carriers and seven shuttle tankers with Russia's Zvezda.

Steel cut for Cedar’s FLNG in South Korea

South Korea’s Samsung Heavy Industries has officially started building Cedar LNG's floating LNG production unit, which will be installed in Kitimat, on Canada’s West Coast.

Basalt adds another LNG carrier to its fleet

UK-based infrastructure investment firm Basalt Infrastructure Partners has added the 180,000-cbm LNG carrier, Celsius Galapagos, to its fleet.