Energean Power FPSO to set sail for Israel in summer of 2021

The Energean Power floating production storage and offloading (FPSO) vessel being built for Energean’s Karish field offshore Israel will set sail from Singapore in the summer of 2021.

Energean
said on Thursday in its first-half results presentation that the FPSO bound for
the Mediterranean Sea project, named Energean Power, was in Singapore where the
China-built hull was being fitted with topside modules. The first module was
installed on August 24.

Mathios Rigas, chief executive of Energean said: “Despite some COVID-19-related disruptions, in the year-to-date, we have made solid progress on our flagship gas project in Israel, which is scheduled to deliver first gas in the second half of 2021.

“We have successfully performance-tested all three Karish development wells, delivered a resource upgrade at Karish North, completed the installation of the 8 bcm/yr capacity, a 90-kilometre pipeline that will deliver Energean’s gas sales (currently at 5.6 bcm/yr) into the Israeli domestic market, completed the hull of our FPSO in China, moved it to Singapore, and have commenced heavy lifting operations”.

To remind, the Energean Power FPSO hull set sail from China in late March and arrived at the Sembcorp Marine Admiralty Yard in Singapore in mid-April 2020. However, upon arrival, the company was informed of a two-week temporary halt to operations at the yard which was intended to reduce the risk of COVID-19 transmission.

Energean
added in the presentation that the yard re-opened on 2 June 2020, but the work
ramp-up was slow in June and July due to government restrictions and associated
health checks being performed in the workers’ dormitories.

A major
ramp-up of the workforce in the yard happened during August 2020 and in the
first week of September, the workforce on the project averaged more than 480
workers per day.

The company
further stated that the installation of the topside modules onto the FPSO hull was
underway with the Ehouse module which contains all the FPSO control equipment
and electrical switchgear. It was successfully lifted onto the Energean Power
hull on 24 August 2020.

Heavy
lifting operations for the remaining modules are expected to start in the
coming weeks.

According to
the company, topsides integration and pre-commissioning is expected to take
approximately 10-11 months, after which the FPSO is expected to sail away from
Singapore to Israel.

At the
moment, Energean expects the sailaway to Israel to occur in the summer 2021 and
first gas in 2H 2021.

Installation
of the risers that will connect the production wells to the FPSO is expected to
start in the fourth quarter of 2020 and to be completed in the first quarter of
2021. That will mark the completion of the subsea works required ahead of the arrival
of the FPSO.

According to
the company, onshore works are progressing well and the whole system is
expected to be ready to receive first gas in the second quarter of 2021, well
ahead of expected hook-up of the FPSO.

The FPSO will be spread moored with 14 mooring lines in a water depth of 1,750 metres. Lankhorst will supply 28 rope lengths totalling 43,400 metres.

Energean also
completed the installation of the suction anchors that will keep the FPSO in
place off Israel.