US-based Hill International has secured a contract for the first Cyprus LNG import terminal at Vassilikos, the nation’s largest and most expensive energy project.
Under the deal, the risk management firm will lead an international consortium and provide owner’s engineer services.
Natural Gas Infrastructure Company of Cyprus (ETYFA) awarded the deal, Hill said on Friday without revealing financial details.
ETYFA will operate the LNG import facility, wholly-owned by the government of Cyprus.
Hill, as owner’s engineer, said it would oversee the implementation of the LNG project.
The company will carry out design reviews and supervise the works at China’s Hudong and at the Vasilikos site.
Given the technical and commercial requirements of the project, Hill will lead an international group consisting of four companies.
Hill is leading a team formed with Bureau Veritas Maritime & Offshore Solutions and engineering firms Tractebel and Gazocean, it said.
“New energy era”
To remind, Cyprus started building the terminal last month, announcing the project as the beginning of a new energy era.
It will help the nation’s efforts to ensure diversification of energy sources, reduce the cost of energy, and cut emissions.
The project has a budget of over 289 million euros ($336 million) and an implementation timeframe of 24 months.
Main project’s components include the conversion of a 136,000-cbm LNG carrier to an FSRU, construction of a jetty, and an onshore gas pipeline.
The completed terminal will be capable of receiving LNG from carriers ranging in size from 120,000 to 217,000 cbm.
A consortium led by the state-owned China Petroleum Pipeline Engineering, a unit of CNPC, has secured the contract to build and operate the terminal.
The consortium includes Metron Energy Applications, Wilhelmsen Ship Management and Hudong-Zhonghua Shipbuilding.
The FSRU conversion works will take place at China’s Hudong-Zhonghua.
Worth mentioning here, the project has received the political and financial backing of the European Union.
ETYFA won a 101 million euro grant under the EU’s Connecting Europe Facility.
The project also secured loans from EIB, EBRD, and an equity participation from the Cyprus power authority.
