Mitsui OSK to invest in Delfin Midstream
Delfin Midstream said June 8 Japanese shipping company Mitsui OSK Lines (MOL) has entered into a strategic investment agreement with Delfin that will help Delfin accelerate the growth of its North American LNG exports.
As part of the agreement, Suryan Wirya-Simunovic, MOL’s executive officer for energy related business for Europe, the Americas and Africa, will join Delfin’s board.
“Our low-cost, simplified floating liquefaction solution will be significantly enhanced by MOL’s extensive marine expertise, creating a world-class partnership with significant benefits for both Delfin and MOL,” Delfin CEO Dudley Poston said. “Proceeds from MOL’s investment will be used to accelerate making final investment decisions on our first two FLNG vessels this year.”
The proposed Delfin Deepwater Port off the coast of Louisiana will consist of four floating LNG vessels with a combined liquefaction capacity of about 13.3mn metric tons/year. The first 3.1mn mt/yr FLNG vessel, supported by offtake agreements with Hartree Partners Power & Gas of the UK, the UK’s Centrica and the US subsidiary of Swiss trading house Vitol, is expected to be sanctioned by mid-2023.
The agreement also provides MOL with the opportunity to make additional investments directly in Delfin’s FLNG vessels and establishes a framework for MOL to assist in the construction and operation of these vessels.
“Drawing on our extensive expertise gained from previous LNG carrier and FSRU projects and other ventures, we anticipate collaborating with Delfin to successfully drive forward this project toward our initial shared goal of quickly making final investment decision on the first FLNG vessel,” MOL CEO Takeshi Hashimoto said.