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Kwispaa LNG signs contract with Hyundai for FEED hulls

JOC News Service
Kwispaa LNG signs contract with Hyundai for FEED hulls

VANCOUVER ISLAND — The Kwispaa LNG project, located at Sarita Bay on Vancouver Island, has signed a contract with Hyundai for front-end engineering and design (FEED) of at-shore hulls.

On Sept. 19 at the Gastech conference in Barcelona, Spain representatives from Steelhead LNG, the company developing the Kwispaa LNG project, the Huu-ay-aht First Nations, co-managers of the project and owners of the land the project is on, and Hyundai Heavy Industries shipbuilding division formalized the contract.

The contract calls for design of two at-shore LNG hulls as part of the first phase of the Kwispaa LNG project. Each hull will measure 60 metres wide and 340 metres in length and will feature five takes with 280,000 cubic metres of internal LNG storage.

The total price of hull construction will be $500 million.

The project recently issued an invitation to tender to three shortlisted engineering, procurement and construction firms; Black & Veatch/Samsung Heavy Industries/PCL Industrial Management Inc, CB&I/ Offshore Oil Engineering Co., Ltd. (COOEC), and TechnipFMC. The tender concerns FEED work on the LNG topsides, pre-treatment, marine facilities and the balance of onshore plant facilities. All FEED work will commence in early 2019.

The first phase of the project is estimated to be operational in 2024 and will provide capacity of approximately 12 metric tonnes per annum (mtpa) with the ability to expand to 24 mtpa.

“This agreement with Hyundai Heavy Industries for two At-Shore LNGTM hulls again demonstrates the technological innovation and creative solutions that we are developing as part of the Kwispaa LNG Project to offer Asia-Pacific buyers with cleaner and competitively priced LNG from Canada,” Steelhead LNG CEO Nigel Kuzemko said in a statement. “Our goal is to help meet the world’s rising demand for LNG and reduce worldwide greenhouse gas emissions. At the same time, with our co-management partners, Huu-ay-aht First Nations, we are committed to working with all levels of government to realize the tremendous potential benefits the Kwispaa LNG Project can provide to local communities, British Columbia and Canada.”

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