Bangladesh: BSC inks MoU for two 40,000-cbm LNG carriers

The Bangladesh Shipping Corporation inked a deal with the Chinese Institute of Marine and Offshore Engineering for the construction of two 40,000-cbm LNG carriers. 

According to the memorandum of understanding the two vessels will serve the country’s first LNG import terminal at Moheshkali, owned by Petrobangla, Bangladesh Sangbad Sangstha (BSS), the national news agency reports.

The vessels would be constructed and delivered to Bangladesh within 18 months.

In addition to the two LNG carriers, the government has started an initiative to expand BSC’s fleet by an additional 36 vessels, with six of these to be built in China, totaling an investment of BDT 18.43 billion (Approx: US$233 million).

Funding will be provided by the Chinese Exim bank, in the amount of BDT 14.48 billion while state-owned BSC will provide the remaining BDT 3.95 billion.

The country’s first LNG import terminal is being developed by the FSRU specialist Excelerate Energy under a contract with Petrobangla. Excelerate will fully develop, design, permit, construct, install, finance, and operate the terminal.

The company will provide an FSRU, an offshore subsea buoy system to anchor the FSRU, and a subsea pipeline to interconnect into the onshore natural gas system.

In addition, Excelerate will provide full operational services, including the provision of port service vessels and overall facility management. The FSRU will be capable of delivering natural gas at a base regasification rate of 500 million standard cubic feet per day, with peaking capacity substantially in excess of this.

Financial close for the Moheshkhali floating LNG  project is expected to be reached early this year, with first LNG delivery expected in 2018, according to an earlier statement by Excelerate Energy.

1 BDT = 0.0126183 USD

LNG World News Staff