Transborders Energy Pty Ltd has signed a multi-party and multi-project FLNG Solution Framework Agreement (“FLNG Framework Agreement”) with the following entities for co-pursuing the deployment of Transborders’ FLNG Solution* on a range of stranded offshore gas resource opportunities (“Projects”). This FLNG Framework Agreement is a first-of-its-kind collaborative arrangement among world class EPCI and O&M contractors, investors and LNG offtakers to collectively commercialise a series of discovered but stranded offshore gas resource opportunities.
- Add Lucid Pty Ltd (“Add Energy Group”);
- Kyushu Electric Power Co., Inc. and Kyushu Electric Australia Pty Ltd (collectively “Kyushu Electric Power”);
- Mitsui O.S.K. Lines, Ltd. (“MOL“);
- Single Buoy Moorings Inc. (“SBM Offshore“); and
- Technip France (“TechnipFMC”).
Under this FLNG Framework Agreement, all parties have:
Reached agreement on the terms and conditions of key term sheets in relation to the Engineering Procurement, Construction & Installation (“EPCI”) of the FLNG and upstream facilities and the gas offtake and liquefaction tolling arrangements that would apply on a range of stranded offshore gas resource opportunities;
- Agreed to certain preferential rights granted to each party such as those related to the investment in and offtake from each Project; and
- Agreed the following roles for each Project opportunity (In alphabetical order);
- Add Energy Group as FEED and D&C contractor for the development wells, and as the operation and maintenance service provider for the development wells;
- Kyushu Electric Power as potential equity investor in the FLNG facility and as potential offtaker from the Project;
- MOL as potential equity investor in the FLNG facility and as potential offtaker from the Project;
- SBM Offshore as FEED and EPC contractor for the turret mooring system and hull scopes of the FLNG facility and as the operation and maintenance service provider for the FLNG facility;
- TechnipFMC as FEED and EPCI contractor for the FLNG facility and FEED and EPCI services for the subsea production systems for the gas resource development; and
- Transborders Energy as manager and integrator of all Projects.
Add Energy Group, Ole Rygg, CEO said, “We are proud to be able to contribute our technology, drilling, completions, operational and maintenance expertise under this multi-party framework agreement as Transborders leads the way in commercialising stranded gas resources through FLNG. This is an important project for Add Energy and the industry as we focus our efforts on unlocking opportunities that reduce our carbon footprint.”
TechnipFMC, Arnaud PIETON, President Technip Energies said: “This FLNG Framework Agreement is a new step for the FLNG industry and for our energy transition journey to a low-carbon society. Under this framework, TechnipFMC would further strengthen its FLNG leadership and leverage the expertise and learnings from its other three FLNG projects in operation or under construction.
Transborders Energy’s Chairman Jack Sato said: “This FLNG Framework Agreement is a first-of-its-kind collaborative arrangement among world class EPCI and O&M contractors, investors and offtakers to collectively commercialise a series of discovered but stranded offshore gas resource opportunities. Our pre-agreed commercial arrangements, together with our pre-engineered one point five (1.5) million tonne per annum FLNG facility, can convert stranded gas resources into ‘project sanction (FID) ready’ Projects within 24 months, while also allowing LNG offtakers access to competitive LNG supply sources and to attractive FLNG facility investments”.