Höegh LNG of Norway said it has been awarded an FSRU contract by Sociedad Portuaria El Cayao (SPEC) for a new LNG import terminal in Cartagena, on the Atlantic coast of Colombia.
The contract is subject to SPEC obtaining necessary environmental licenses for the project, which is expected to start operations mid-2016, the company said in a statement.
The FSRU contract is for twenty years, but includes options for SPEC to reduce the term to five, ten or fifteen years. SPEC will confirm the initial contract term before the start of operations, Höegh said.
The contract is expected to generate an average annual EBITDA of USD 40-45 million, depending on the term of the contract.
Hoegh LNG will employ the Höegh Challenger FSRU, with a capacity of 170,000 cbm, currently under construction at Hyundai Heavy Industries’ shipyard in Ulsan, South Korea.
LNG World News Staff; Image: Höegh LNG