Newbuild FSRU underpins LNG import terminal development in Philippines

During the five-year bareboat charter Excelerate, based in The Woodlands, Texas, will have the option to purchase the FSRU, Hull 2477, currently under construction at Daewoo Shipbuilding and Marine Engineering (DSME).

Scheduled for delivery in April 2020, the vessel will have a storage capacity of 173,400 m³ and will be capable of operating as both an FSRU and a trading LNG carrier. The bareboat charter will commence when the vessel is delivered.

Hull 2477 will join Excelerate’s existing fleet of nine FSRUs, all built by DSME, and will serve Excelerate’s portfolio of regasification customers.

The bareboat charter deal with Excelerate follows in the wake of a newbuild order placed by Maran Gas Maritime (MGM), a unit of Angelicoussis Shipping Group, at DSME for a 173,400-m³ LNG carrier in August 2019. Delivery of that vessel is set for Q4 2021. Maran Gas Maritime has orders for 13 LNG carriers and one FSRU.

Excelerate Technical Management, a subsidiary of Excelerate, will provide ship management for the vessel.

Excelerate owner George B Kaiser said, "We are pleased for Excelerate to enter into this transaction with MGM, a leading provider in LNG world shipping. MGM’s growing fleet is a testament to John Angelicoussis’ vision and commitment to the LNG industry."

MGM owner John Angelicoussis said, "We believe this transaction leverages the strengths of both our companies. Excelerate are market leaders in the FSRU space and we are delighted to have this opportunity to collaborate thereby securing a productive future for this state-of-the-art FSRU."

On 20 September, Excelerate received notice to proceed from the Philippine Department of Energy to develop a floating liquefied natural gas import terminal in the Bay of Batangas in the Philippines. The project, Luzon LNG, will supply natural gas, sourced from LNG, to existing and new gas-fired power plants in the region that provide electricity to Luzon including metropolitan Manila.

Excelerate will develop, design, permit, construct, finance and operate the Luzon LNG terminal.