Japanese shipping conglomerate Mitsui OSK Lines (MOL) and Dutch petroleum storage infrastructure firm Royal Vopak said in a joint statement on Thursday that they had agreed to set up a joint venture that will operate a floating storage and regasification unit (FSRU) for the Hong Kong LNG terminal. Under the deal, Vopak will buy a 49.99% stake in the vessel-owning company of MOL FSRU Challenger, which will be renamed Bauhinia Spirit. Vopak also signed a long-term contract with Hong Kong LNG Terminal Ltd that includes providing port services and jetty operations and maintenance.
The 345 metre-long and 55 metre-wide Bauhinia Spirit will be Hong Kong’s first-ever LNG import terminal. It is the world’s largest FSRU with a storage and regasification capacity of 263,000 cubic meters and 800 MMcfd, respectively.
Hong Kong LNG Terminal, which is currently under construction, will own the offshore jetty for the mooring of the FSRU and LNG vessels. The offshore terminal will be located about 25 kilometres southwest of Hong Kong Island. It will supply gas to power plants, helping the government to cut carbon emissions.
