Mitsui O.S.K. Lines, Ltd. (MOL) announced the signing of agreements with Swan LNG Private Limited (Swan LNG) for the long-term operation / maintenance of a floating, storage and regasification unit (FSRU) and of a floating and storage unit (FSU), that will serve as the core receiving facilities in an LNG terminal to be developed by Swan Energy in Gujarat, India.
The FSRU serving this project is being ordered and owned by Swan Energy through its subsidiary, and MOL has an option to participate in the FSRU joint ownership. The option is exercisable any time before the delivery of the FSRU at shipyard.
Moreover, MOL will invest in Swan LNG and participate in many facets of the project as technical partner. The terminal is slated to start operation in early 2020.
With this step, MOL aims to promote the FSRU business, which is of drawing attention as a solution for flexibility and mobility in the LNG supply chain, and to be the only Japanese FSRU owner and operator.
This will be India’s first newbuilding FSRU project, and part of MOL’s initiatives to “pursue vertically integrated businesses that are not limited to transportation in the LNG business,” in addition to expansion of the LNG business in the growing Indian market.
