US-based New Fortress builds LNG footprint
US-based LNG company New Fortress Energy announced April 15 it had completed acquisitions that build up its capabilities in the Brazilian market and in international LNG shipping and infrastructure.
Formerly known as Golar Power, Hygo was set up in 2016 to develop LNG-based transportation and power infrastructure. The business controls a floating storage and regasification unit (FSRU) in Sergipe, Brazil, and a 50% interest in a 1,500-MW power plant that receives its gas. It has two more planned FSRUs due to support 1,200 MW of power generation in Brazil. Hygo's fleet also includes two LNG carriers (LNGCs).
Through its simultaneous 100% takeover of Golar LNG Partners, NFE gains a fleet of six FSRUs and four LNGCs, as well as a 50% interest in the Hilli Episeyo floating liquefaction vessel.
“With this acquisition, we are now a leading gas and power provider in a large and fast-growing market and have become one of the world’s premier energy transition companies,” Wes Edens, the CEO of NFE, said.
At the same time, the company signed a memorandum of understanding with a subsidiary of Norwegian aluminium and renewable energy company Norsk Hydro to supply gas to an aluminium refinery in Brazil.
The Norwegian firm is in the process of switching the plant from fuel oil to natural gas as part of an emissions reduction effort. New Fortress is expected to deliver natural gas for the plant to the Barcarena LNG receiving terminal in Brazil, which is expected to go into service next year.