Conversion of the Fuji LNG vessel to a MK II FLNG vessel is underway at CIMC's Yantai yard in China, Golar LNG said in an update.
The converted vessel is due to be delivered in fourth-quarter 2027, representing the first available FLNG capacity globally. Under the EPC agreement, Golar also has an option for a second MK II conversion slot at CIMC for delivery by 2028.
Contract discussions for a deployment of the MKII are taking place in the Americas, West Africa, Southeast Asia and the Middle East.
In July 2024, Golar entered into definitive agreements for deployment of an FLNG for the SESA project in Argentina. Southern Energy S.A. (SESA) is a joint venture formed by Golar LNG and Pan American Energy. In October, Golar received a notice reserving its FLNG Hilli for the 20-year charter. The vessel’s current charter offshore Cameroon expires in July 2026, after which it will undergo upgrades to ensure a further 20 years of continuous operations offshore.
Partners in SESA are Pampa Energia, Harbour Energy, YPF, Pan American Energy and Golar with its 10% equity stake.
SESA will be responsible for sourcing Argentine natural gas to the FLNG; chartering and operating FLNG Hilli; and marketing and selling the LNG globally. The addition of leading natural gas and oil producers in Argentina further strengthens both the project and Golar’s charter counterparty.
The project remains subject to defined conditions precedent, including the export license, environmental assessment and FID; the various work streams should finish by mid-2025.
