Hoegh LNG “making progress” on securing work for its 7th FSRU

Oslo-Based Höegh LNG said Thursday it is still in negotiations on securing employment for its seventh FSRU, currently under construction at South Korea’s Hyundai Heavy Industries.

The floating LNG company is “making progress” on finding work for the FSRU, on schedule for delivery in March 2017, as well as for “additional FSRU’s from its planned newbuild orders and/or conversion project,” Höegh LNG said in its third-quarter results report.

“Höegh LNG is participating in several tender and bi-lateral processes and has entered into a MoU for exclusive negotiations for one project under development.”

Höegh LNG has a fleet of eight FSRUs, of which two of them are still being constructed at Hyundai Heavy.

The company noted in the report it is in the final round of evaluating bids received from shipyards for its next FSRU newbuilding series.

“The terms and conditions of the offers received are very competitive, reflecting the current shipbuilding market,” it said.

Given “strong FSRU market fundamentals”, Höegh LNG is considering taking advantage of the current yard terms to further strengthen its “competitive position as the leading provider of FSRU services.”

The company added that its first FSRU conversion project is also advancing, with the regasification plant on firm order with Finnish engine manufacturer Wärtsila. The tender for selecting the conversion yard has been launched, with the talks on purchasing an LNGC heating up, as well as negotiations with potential FSRU clients, it said.

LNG World News Staff