Lithuanian LNGT Construction Sped Up
Lithuania’s FSRU known as the Independence, built for the Baltic country’s LNG terminal in Klaipeda in Western Lithuania, has reached the Persian Gulf where it is said it will be filled with natural gas.
The vessel was built by Hyundai Heavy Industries’ shipyard in Ulsan, South Korea and is said to deliver a load of gas from the Gulf to Klaipeda to test its LNG facility.
Though the volume of that gas and its owner are not disclosed citing agreement conditions, Klaipedos Nafta (Klaipeda Oil), the developer of the LNGT project, has said that it will buy some 170,000 cubic meters of gas to test the facility, which is to be commissioned in early December.
The vessel is expected to arrive in the Lithuanian seaport in late October or early November.
Meanwhile, LITGAS, the country’s LNG supply and natural gas trade company, announced it has signed common non-binding LNG trade agreements with seven global LNG supply companies. According to LITGAS, they will enable company to purchase LNG fast and effectively on the spot market, and to dynamically respond to changes in the global market. The minimum amount of gas to be supplied in order to ensure continuous operation of the Klaipeda terminal is 540 million cubic meters.
Last week, the Lithuanian Parliament granted a state guarantee to Klaipedos Nafta for a nearly $50 million loan for up to 20 years to finance the LNGT with the Lithuanian government acting as loan guarantor. Lithuania controls 67 percent of the shares of Klaipedos Nafta, which is the only stake holder of the Terminal.
Though the LNGT construction works are said to be running “smoothly,” the pace of works has been spurred after Lithuanian Prime Minister Algirdas Butkevicius visited the site last week.
“I was informed that Klaipėdos Nafta is seeking to boost construction efficiency. The contractors were asked to work three shifts and assign more employees for the project to be completed in time. All measures have to be employed to prevent any possible risks. Now everything is being done to complete the terminal in time,” the PM was quoted as saying.