Excelerate to splash about $332 million on FSRU order in South Korea

Excelerate Energy will pay about $332 million for a floating storage and regasification unit (FSRU) it ordered at South Korea’s Hyundai Heavy Industries.

The US floating LNG player said on Tuesday it had signed a binding shipbuilding contract with Hyundai Heavy for one 170,000-cbm FSRU scheduled for delivery in June 2026.

However, the firm did not reveal the price tag of the deal.

HHI’s parent KSOE said in a statement on Wednesday that HHI would build one FSRU for about 475.7 billion won ($332 million), which is a very high price, and deliver it to Excelerate by June 2026.

This price Excelerate would pay for the vessel is probably the highest price to date for a single FSRU of this or similar size.

Prices for 174,000-cbm LNG carrier newbuilds surged during the last year from about $185 million to record highs of up to $250 million.

FSRUs are more expensive as these units have regasification modules and other additional equipment installed onboard.

With this newbuild order, Excelerate will have 11 FSRUs in operation or under construction.

FSRUs are in great demand as European countries look to fast-track LNG imports and slash reliance on Russian pipeline gas.

Excelerate already chartered its 150,900-cbm Exemplar to Finland’s Gasgrid and another vessel to a project led by Germany’s E.ON, Belgium-based Tree Energy Solutions (TES), and a unit of France’s Engie.

In addition, the US firm plans to deploy its FSRU Excelsior to serve the Vlora LNG project in Albania after the unit completes its contract in Israel.

Most Popular

Venture Global to introduce gas to tenth Plaquemines liquefaction block

US LNG exporter Venture Global LNG has received approval from the US FERC to introduce natural gas to the tenth liquefaction block at the Plaquemines LNG terminal in Louisiana as part of the plant’s commissioning process.

Eni: third phase of YPF’s Argentina LNG project requires $20 billion investment

The third phase of YPF's Argentina LNG export project would require an investment of about $20 billion, according to Eni’s COO of global natural resources, Guido Brusco.

Kimmeridge’s Commonwealth LNG seeks expedited approval from FERC

Kimmeridge's Commonwealth LNG is seeking expedited final approval from the US FERC as it looks to make a final investment decision on its planned LNG export plant in Louisiana later this year.

More News Like This

Excelerate’s FSRU arrives in Germany

Excelerate’s 138,000-cbm FSRU Excelsior has finally arrived in Germany, where it will start serving DET's second LNG import terminal in Wilhelmshaven.

Excelerate boosts senior notes offering to $800 million

US FSRU player Excelerate Energy has upsized its previously announced offering of unsecured senior notes due 2030.

Excelerate in $700 million senior notes offering

US FSRU player Excelerate Energy aims to raise about $700 million via an offering of unsecured senior notes due 2030.

Excelerate’s FSRU leaves Spanish yard to start Wilhelmshaven job

Excelerate’s 138,000-cbm FSRU Excelsior has left the yard in Spain's El Ferrol. The unit will first visit the Netherlands prior to heading to Wilhelmshaven, according to state-owned German LNG terminal operator DET.