KN’s Brazilian LNG terminal deal comes into effect

Klaipedos Nafta, Lithuanian oil and LNG terminal operator, said its contract for the provision of operations and maintenance services for GNA’s liquefied natural gas terminal, located at the Port of Açu in the state of Rio de Janeiro, has become effective.

The contract signed in early February became effective as GNA, a joint venture among Prumo Logistica, BP and Siemens, adopted remaining corporate decisions and received lenders approvals, KN said in its statement.

To remind, under the deal signed in February, KN assumes the responsibility for the provision of operations, including maintenance of the jetty and its installations, gas pipeline and gas metering stations as well as supporting the commissioning of the LNG terminal.

The initial term of the Agreement is for a 13-year operational period following the completion of the LNG terminal and can be extended upon mutual agreement. The LNG terminal is due to start operations in 2020.

LNG terminal at the port of Açu is due to start operations in 2020 for the commissioning of GNA’s thermal power plant, UTE GNA I.

The project includes two natural gas-fired power plants with a combined capacity of 3GW and the LNG import terminal with a regasification capacity of 21 million cubic meters per day.

The newly built FSRU BW Magna of 170,000 cubic meter storage capacity is delivered and operated by BW, while the liquefied natural gas will be supplied by BP, also a shareholder at GNA.