LNG Limited, Chart ink supplier alliance agreement
Australia’s LNG Limited informed that it is entering into a supplier alliance agreement (SAA) with Chart Industries through its unit, Chart Energy & Chemicals.
The SAA provides for the design and manufacture of brazed aluminium heat exchangers and LNG liquefaction cold boxes used in the OSMR LNG liquefaction design, LNG Limited said in a statement on Thursday.
The global alliance agreement will call for Chart and LNGL to work collaboratively together on both current and future company projects.
Associated with execution of the Chart SAA, Magnolia LNG is releasing a purchase order for the liquefaction equipment including cold boxes, brazed aluminium heat exchangers, and Core‐in‐Kettle exchangers for Magnolia LNG’s four‐train LNG facility project in Lake Charles, Louisiana, USA.
The order, released as part of an Early Works engineering procurement and construction (EPC) program, will subsequently be novated to the EPC contractor for delivery as part of the full lump sum turnkey EPC project.
Magnolia LNG EBITDA Guidance
The Magnolia LNG project has realized a series of milestones over the past weeks including issuance by the FERC of the notice of schedule of environmental review and draft environmental impact statement, announcement of the binding Meridian LNG liquefaction tolling agreement, and now the ordering of liquefaction equipment components from Chart.
These events in combination with the status of negotiations with other offtake counterparties and potential alliance candidates provide increasing certainty of development of the full 8 mtpa Magnolia LNG project, according to the statement.
Maurice Brand, CEO of LNGL said: “We remain on schedule to provide first LNG in December 2018 with full LNG supply of 8 mtpa completed in 2019. Our recent announcements and continuing negotiations combine to reinforce our previous Magnolia LNG EBITDA 1 guidance across the full 8 mtpa project of US$2.50/mmBtu or greater.”
LNG World News Staff; Image: Magnolia LNG