Venice Energy advances LNG import terminal in Australia
South Australian-based Venice Energy said May 5 the selection of a preferred supplier for its FSRU at an LNG project in Adelaide sets it up for a final investment decision by year’s end.
The company launched a tender for the floating storage and regasification unit (FSRU) in December, vetting offers from six different shipping companies. Three of those were short-listed in March.
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Without providing a name, managing director Kym Winter-Dewhirst said Venice was now starting to formalise an agreement “with a leading global independent LNG shipowner and operator from Europe.”
“The FSRU represents the major proportion of our operational expenditure, so having it locked in at this stage of the project is critical to our development and provides us with certainty as we push ahead with our final round of project approvals this year,” he said. “Once we have our approvals, we anticipate reaching a final investment decision towards the back half of the year and breaking ground shortly thereafter.”
Venice is proposing a A$200mn LNG import facility to boost gas supply to South Australian domestic and industrial users. The proposed facility is expected to bring around 2.12bn m3/yr of LNG into South Australia.
The company in October submitted its development application to the state government for consideration. If approved, the project will include the construction and operation of a new two-berth wharf facility to accommodate an LNG carrier, a moored FSRU and supporting infrastructure to import, store and re-gasify LNG and deliver gas to customers.
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