Golar LNG has signed an engineering, procurement and construction (EPC) agreement with Yantai CIMC Raffles Offshore for its fourth floating liquefaction natural gas (FLNG) production vessel. The new unit is expected to provide an annual liquefaction capacity of 3.5 million tonnes per annum (mtpa) and is scheduled for delivery by the end of 2029. According to Splash 247, the total cost of the project is approximately $2.45 billion.
The agreement follows Golar’s efforts throughout the year to secure necessary equipment and delivery slots, supporting a targeted timeline. The new vessel will be constructed at the same yard where Golar LNG's FLNG Esperanza is currently under construction, allowing for potential operational synergies from repeating the design process (Splash 247).
Black & Veatch will contribute its PRICO liquefaction technology and provide detailed engineering and process design services. The company will also specify and procure topside equipment and support commissioning of the topsides and liquefaction process for the new vessel, as stated by Golar LNG (Offshore Technology).
Increasing Liquefaction Capacity
The addition of this MKII FLNG unit is expected to increase Golar's total controlled liquefaction capacity by 41%, bringing it above 12 million tonnes per annum. This expansion aligns with the company’s strategic focus on floating liquefaction, following its sale of the last LNG carrier in early 2025 (TradeWinds).
Golar already operates two FLNG units: Gimi, which is currently chartered to bp for a 20-year period at the Greater Tortue Ahmeyim development off Mauritania and Senegal; and Hilli, which is being upgraded in Singapore before moving to Argentina (Splash 247).