AG&P, ADNOC L&S sign agreement for the long-term charter of a FSU
WAREHOUSING & LOGISTICS

AG&P, ADNOC L&S sign agreement for the long-term charter of a FSU

Atlantic Gulf & Pacific (AG&P), the global downstream gas and LNG logistics company, and ADNOC Logistics and Services (ADNOC L&S) have signed an agreement for the conversion, supply, operations and maintenance of a Floating Storage Unit (FSU) at AG&P’s new LNG import facility located within Karaikal Port in Puducherry, India. The 137,756 cu m FSU owned by ADNOC L&S is being chartered for 15 years through an innovative commercial model enabling supply to be scaled to match demand. Construction on the terminal will begin in Q1 2020 with commercial operations expected to commence before the end of 2021.
 
The Karaikal FSU will be only the fourth FSU-based LNG import terminal in the world, after those in Malta, Malaysia and Bahrain. ADNOC L&S will provide a Japan-built, Moss-type containment vessel as FSU for the project from its fleet of eight LNG ships.
 
“This agreement with Atlantic Gulf & Pacific is significant for ADNOC Logistics & Services in a number of ways,” said Abdulkareem Al Masabi, CEO, ADNOC L&S. “Firstly, it represents our first agreement with AG&P and one of our company’s most important goals is to find creative ways to branch out and find new partnerships around the world to fuel our company’s safer, smarter growth. It is also an important agreement because it provides AG&P with additional storage flexibility for their LNG terminal as well as giving us the chance to generate more value from one of our historical assets which is coming to the end of its current contract.”
 
Owned and operated by AG&P, the LNG import facility at the Karaikal Port will have initial capacity of 1 million tonne per annum (mtpa) which will be expanded to 3 mtpa in the medium term as demand increases. The terminal will serve domestic, industrial and commercial customers within a 500 km radius, including the heavily industrialised region of central Tamil Nadu, which has major manufacturing clusters for the fertilizer, cement, steel, textile, leather, sugar and garment industries. In addition, it will serve gas-fired power plants as well as AG&P’s own extensive city gas distribution network across South India.
 
Karthik Sathyamoorthy, President, AG&P Terminals & Logistics, said: “We are privileged to work with ADNOC L&S, one of the world’s leaders in LNG logistics with an extensive, state-of-the-art, highly-maintained fleet. Both of our companies will work very closely to provide a comprehensive LNG solution for our downstream customers through the Karaikal LNG Facility. AG&P has focused on bringing down the unit cost of re-gasification terminals for smaller volumes. AG&P and ADNOC L&S are excited to reach this critical goal for our customers.”

Atlantic Gulf & Pacific (AG&P), the global downstream gas and LNG logistics company, and ADNOC Logistics and Services (ADNOC L&S) have signed an agreement for the conversion, supply, operations and maintenance of a Floating Storage Unit (FSU) at AG&P’s new LNG import facility located within Karaikal Port in Puducherry, India. The 137,756 cu m FSU owned by ADNOC L&S is being chartered for 15 years through an innovative commercial model enabling supply to be scaled to match demand. Construction on the terminal will begin in Q1 2020 with commercial operations expected to commence before the end of 2021. The Karaikal FSU will be only the fourth FSU-based LNG import terminal in the world, after those in Malta, Malaysia and Bahrain. ADNOC L&S will provide a Japan-built, Moss-type containment vessel as FSU for the project from its fleet of eight LNG ships. “This agreement with Atlantic Gulf & Pacific is significant for ADNOC Logistics & Services in a number of ways,” said Abdulkareem Al Masabi, CEO, ADNOC L&S. “Firstly, it represents our first agreement with AG&P and one of our company’s most important goals is to find creative ways to branch out and find new partnerships around the world to fuel our company’s safer, smarter growth. It is also an important agreement because it provides AG&P with additional storage flexibility for their LNG terminal as well as giving us the chance to generate more value from one of our historical assets which is coming to the end of its current contract.” Owned and operated by AG&P, the LNG import facility at the Karaikal Port will have initial capacity of 1 million tonne per annum (mtpa) which will be expanded to 3 mtpa in the medium term as demand increases. The terminal will serve domestic, industrial and commercial customers within a 500 km radius, including the heavily industrialised region of central Tamil Nadu, which has major manufacturing clusters for the fertilizer, cement, steel, textile, leather, sugar and garment industries. In addition, it will serve gas-fired power plants as well as AG&P’s own extensive city gas distribution network across South India. Karthik Sathyamoorthy, President, AG&P Terminals & Logistics, said: “We are privileged to work with ADNOC L&S, one of the world’s leaders in LNG logistics with an extensive, state-of-the-art, highly-maintained fleet. Both of our companies will work very closely to provide a comprehensive LNG solution for our downstream customers through the Karaikal LNG Facility. AG&P has focused on bringing down the unit cost of re-gasification terminals for smaller volumes. AG&P and ADNOC L&S are excited to reach this critical goal for our customers.”

Next Story
Resources

Thailand Approves $29 Billion Investment Push

Thailand has approved investment proposals worth nearly USD 29 billion (around 958 billion baht), led by major data centre and digital infrastructure projects, as the country strengthens its position as a regional technology and AI hub.The approvals were cleared by Thailand’s Board of Investment (BOI), chaired by Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas. The largest approved proposal is from TikTok System Thailand, involving an investment of around USD 25 billion to expand servers, storage and data-processing infrastructure across Bangkok, Samut Prakan and Chachoengsa..

Next Story
Real Estate

Alpha Corp Acquires Earth Infra Projects Through NCLT Resolution

Alpha Corp Development has acquired three stalled projects of Earth Infrastructures Limited through the National Company Law Tribunal (NCLT) resolution process, following a Supreme Court judgment restoring the company’s resolution plan under the Insolvency and Bankruptcy Code (IBC).The projects include commercial developments Earth TechOne and Earth Sapphire Court in Greater Noida, along with the residential project Earth Copia in Gurugram. The development is expected to provide relief to more than 3,000 homebuyers and commercial-space buyers affected by delays spanning over a decade.The Sup..

Next Story
Real Estate

Casagrand Launches 41-Acre Highcity Project on Chennai ORR

Casagrand has launched ‘Casagrand Highcity’, a 41-acre integrated residential development on Chennai’s Outer Ring Road (ORR), marking the company’s largest residential project to date.The project will comprise over 4,000 two and three-BHK residences spread across four G+22 towers and is positioned as one of the largest organised residential developments in the ORR corridor. The development is anchored by a five-acre sports clubhouse and over 150 amenities, including more than 50 sports facilities and 25 children-focused recreational features.Located along Chennai’s rapidly developing..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement