OVERLAND PARK, Kan., Jan. 5, 2015 (GLOBE NEWSWIRE) -- Black & Veatch has been called upon for the second time to combine its licensed PRICO® LNG technology and global engineering, procurement and construction (EPC) capabilities with the services of Keppel Shipyard Limited (Keppel Shipyard). Together, they will convert a Golar LNG carrier, the GIMI, into a Floating Liquefaction Vessel (FLNGV).
Black & Veatch will provide its successful PRICO® technology as well as perform detailed engineering and process design, specify and procure topside equipment, and provide commissioning support for the FLNGV topsides and liquefaction process.
This is the company's second agreement of this nature with Keppel Shipyard and Golar LNG. In July 2014, the company announced an EPC contract to convert the Hilli.
"The scale and speed in which we secured the contract for the GIMI is a testament of the industry's confidence in FLNG conversion solutions. Game changing solutions such as this not only increase the speed and efficiency with which natural gas can be delivered to market, it demonstrates how forward thinkers such as Golar and Keppel are spearheading the FLNG industry so that its substantial potential may be unlocked," said Hoe Wai Cheong, Executive Vice President and Executive Director of EPC Projects for Black & Veatch.
Natural gas is becoming increasingly important in the global energy mix following the shale gas surge and a need to move away from traditional energy sources such as coal and nuclear. According to Douglas-Westwood's World LNG Market Forecast, global capital expenditure on LNG facilities will reach nearly US$288 billion between 2013 and 2017, more than double the amount spent during the previous five years.
Mr. Michael Chia, Managing Director (Marine & Technology), Keppel Offshore & Marine, said, "We are happy that Golar LNG is proceeding with their second FLNGV conversion, and would like to thank them for once again entrusting Keppel Shipyard as their lead contractor of choice. We, together with Golar LNG and our partner Black & Veatch, are confident that FLNGV conversion solutions are indeed the answer to a need to bring small and mid-scale LNG volumes to market in a more timely and cost-efficient manner."
Construction activities of the GIMI will commence when Keppel Shipyard receives the notice to proceed which is expected to be issued no later than November 2015. The completed FLNG facility is expected to be delivered around 33 months after the notice to proceed is given.
The contract, which includes both Keppel Shipyard's and Black & Veatch's work scopes, is worth approximately US$705 million.
- The GIMI is a 125,000 cubic meter LNG carrier.
- The GIMI conversion will be built to relevant marine classification society rules and regulations.
- Black & Veatch has a record of reliable performance with 25 plants around the world featuring PRICO® technology.
- PRICO® technology is a proven solution for making the liquefaction of natural gas process easier, faster and cost effective. The technology is applied to a variety of industries including rail, trucking, mining and power.
- The PRICO® process uses a single-mixed refrigerant loop for natural gas liquefaction. The process provides several key advantages, including:
- A simplified refrigeration system that requires minimal equipment and a compact process that makes it ideal for offshore liquefaction
- Low capital and operating expenditure
- Simplified control and maintenance
About Black & Veatch
Black & Veatch is an employee-owned, global leader in building Critical Human Infrastructure™ in Energy, Water, Telecommunications and Government Services. Since 1915, we have helped our clients improve the lives of people in over 100 countries through consulting, engineering, construction, operations and program management. Our revenues in 2013 were US$3.6 billion. Follow us on www.bv.com and in social media.
About Keppel Shipyard
Keppel Shipyard is a subsidiary of Keppel Offshore & Marine (Keppel O&M), a wholly-owned company of Singapore-listed Keppel Corporation.
Keppel Shipyard is the trusted industry name for the repair, conversion and upgrading of a diverse range of vessels, and a global leader in the conversion of Floating Production Storage and Offloading (FPSO), Floating Storage and Offloading (FSO) and Floating Storage and Re-gasification Units (FSRU), as well as the fabrication and installation of turrets and mooring systems, and topside process modules.
As a group, Keppel O&M is also a global leader in offshore rig design, construction and repair, and specialised shipbuilding. Its near market, near customer strategy is bolstered by a global network of 20 yards and offices in the Asia Pacific, Gulf of Mexico, Brazil, the Caspian Sea, Middle East and the North Sea regions. Integrating the experience and expertise of its yards worldwide, Keppel O&M aims to be the provider of choice and partner for solutions for the offshore and marine industry. For more information, please visit www.keppelom.com
About Golar LNG
Golar LNG is one of the world's largest independent owners and operators of LNG carriers with over 40 years of industry experience. Golar's innovation delivered the world's first Floating Storage and Regasification Units (FSRU) based on the conversion of existing LNG carriers. Golar LNG leads the industry with committed projects and is progressing plans to grow its business further upstream by deploying its floating liquefaction technology (GoFLNG). The objective is to become the industry's leading integrated midstream LNG services provider, supporting resource owners, gas producers and gas consumers. For more information, please visit www.golarlng.com.
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Source:Black & Veatch Holding Company