
While floating LNG projects can’t match the production of land-based sites, the sector is still growing because of the convenience it offers operators, says a developer at Black & Veatch. (Source: Shutterstock.com)
A decade ago, engineers designed floating LNG (FLNG) barges for one purpose — monetizing stranded, offshore natural gas that could otherwise not be piped ashore.
The industry, thanks to several convenience factors, has grown into a few more niches and is striving for a more meaningful role in the future of global LNG supply.
“We’re moving beyond offshore gas,” said Kyle Haberberger, offshore development manager for Black & Veatch, one of the world’s largest infrastructure engineering firms.
Haberberger spoke about the evolution of FLNG on May 6 at the Offshore Technology Conference (OTC).
No FLNG platform can currently come close to the production of an LNG facility on land. The proposed Delfin FLNG project, at full development, would be able to export up to 13.2 million tonnes tons per annum (mtpa) from its site off the coast of Louisiana.
Venture Global’s nearby Plaquemines LNG facility in Louisiana is ramping up to 27.2 mtpa in its first phase and is slated for expansion once complete.
And Samsung Heavy Industries made an announcement at OTC on its latest evolution of FLNG.
The Korean company, one of the major players in FLNG manufacturing, announced a new standardized model for LNG vessels. The proposed vessel received approvals, in principle, from naval standardization groups in the U.S., U.K. and Norway.
The manufacturer called the model a multipurpose LNG floater-offshore. It’s the second platform Samsung has designed; the first was built for shallow waters near coastlines.
The new design is built for the original purpose of FLNGs: monetizing stranded offshore gas, but offers a scaled-up version that can operate in deep waters and hold up to 220,000 cu. m of LNG in storage.
Samsung said the platform would offer lowered costs to producers and reduce delivery times for customers.
In its announcement, Samsung said it plans to offer its two models for proposed gas field operations in developments overseas, such as Norway.
As FLNG platforms have evolved, they offer producers and investors fewer headaches and alternatives when land-based projects don’t work, Haberberger said.
An FLNG platform offers far more modularity than a land-based site, which usually has to be built with the local geography in mind. Haberberger added that FLNG platforms are built in shipyards, allowing developers to avoid the difficulties of on-site construction, such as finding enough workers and moving materials.
“We have modules built in shipyards to de-risk construction to make things go faster, to reduce that site labor that you have to bring that's so critical,” he said.
FLNG developers have therefore focused on scaling up projects, as gas suppliers seek options to meet a growing global demand for LNG.
“It's no longer about how do you build me a floating LNG, it's about how do you build me the largest possible module for my LNG facility?” Haberberger said. “That's where we're really seeing a lot of traction.”
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