Engro Elengy FSRU

From Global Energy Monitor
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Engro Elengy FSRU, also known as Port Qasim Karachi LNG, is a floating storage and regasification unit (FSRU) in Sindh, Pakistan.

Location

The terminal is located in a channel of the Indus River east of Karachi.

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Project Details

  • Owner: Elengy Terminal Pakistan Limited (ETPL)[1]
  • Parent company: Engro 51%; Royal Volpak 49%[1]
  • Vessel name: Excelerate Exquisite[1]
  • Vessel owner: Excelerate Energy, Nakilat[1][2]
  • Vessel parent: Excelerate Energy, Nakilat[1][2]
  • Location: Port Qasim, Karachi, Sindh, Pakistan
  • Coordinates: 24.7907232, 67.3688752 (exact)
  • Capacity: 4.8 mtpa[3]
  • Status: Operating
  • Type: Import
  • Start Year: 2015

Note: mtpa = million tonnes per year; bcfd = billion cubic feet per day

Background

Engro Elengy FLNG Terminal is an import LNG terminal in Sindh, Pakistan. The terminal was proposed in 2014 and was completed in 2015. It has unloading capacity of 690 MMcf/d.[4][5]

In July 2018 the Dutch company Royal Volpak acquired 29% ownership of the terminal for $38 million.[6] In November 2018 Royal Volpak increased its ownership share to 44%.[7]

Corruption allegations

In October 2018 two government ministers charged that the terminal had secured contracts at exorbitant rates and that the contracting process had not been transparent.[8] In July 2019 former Prime Minister Shahid Khaqan Abbasi was arrested for abuses of power while serving as Minister of Petroleum and Natural Resource Development. Abbasi was charged with conducting noncompetitive bidding processes in developing the Engro Elengy terminal and steering a no-bid contract to a law firm with which he had personal ties.[9]

Expansion Project Details

  • Owner: Elengy Terminal Pakistan Limited (ETPL)[10][11]
  • Parent company: Engro 51%; Royal Volpak 49%[10][11]
  • Vessel name: Excelerate Sequoia[12]
  • Vessel owner: Excelerate Energy[11]
  • Vessel parent: Excelerate Energy[11]
  • Location: Port Qasim, Pakistan[11]
  • Coordinates: 24.769704, 67.334731 (estimate)
  • Capacity: 5.9 mtpa[13]
  • Status: Proposed[11]
  • Type: Import[11]
  • Start Year: 2022

Note: mtpa = million tonnes per year; bcfd = billion cubic feet per day; mmcfd = million cubic feet per day

Expansion Project: New Engro Elengy FSRU

In February 2020 Engro Elengy and Excelerate Energy signed an agreement for the construction of a new FSRU to be moored at the same location. Under the agreement, Excelerate will exchange its existing FSRU Exquisite with a newbuild FSRU, Excelerate Sequoia, currently employed on a short-term charter to PetroChina. The FSRU will increase the send-out capacity by more than 1 MTPA of LNG and increase LNG storage capacity from 150,900 m3 to 173,400 m3.[14]The Engro FSRU Expansion will have a capacity of 5.9 mtpa.[15]

As of January 2021, the project was awaiting government approval.[16]

In June 2021, Pakistan media reported that the Pakistan government's Cabinet Committee on Energy had again failed to reach consensus on allowing Engro's LNG terminal to replace the existing Engro Elengy FSRU with the new expansion project as different stakeholders expressed their reservations about the move. One of these, Sui Northern Gas Pipelines Limited, voiced concern over possible disruption to gas supplies to power plants. The gas utility would have to pay damages if it could not provide gas to power plants which have "take-or-pay" agreements. The Energy Committee was seeking legal advice on the matter from the country's Law Division.[17]

In December 2021, the Excelerate Sequoia, which had earlier been expected to serve as the Engro FSRU Expansion, began service in Brazil at Bahia FSRU.

Articles and resources

References

  1. 1.0 1.1 1.2 1.3 1.4 The LNG Industry: GIIGNL Annual Report 2022. May 2022.
  2. 2.0 2.1 "Engro Elengy Terminal sets new industry records in five years of successful operations | engro corporation". engro corporation. Retrieved 2022-07-29.
  3. 2019 World Gas Report International Gas Union, accessed August 2019
  4. Port Qasim FLNG Terminal, A Barrel Full, accessed April 2017
  5. Karen Thomas, "Quenching the Indian subcontinent’s thirst for LNG," LNG World Shipping, June 26, 2017.
  6. Dutch firm takes 29% stake in Engro’s Elengy Terminal for $38m, The Express Tribune, Jul. 21, 2018
  7. Vopak raises share in Pakistan LNG terminal to 44%, S&P Platts Global, Nov. 27, 2018
  8. LNG terminal operators hit back at govt allegations, Dawn, Oct. 20, 2018
  9. Shahid Abbasi nabbed in LNG terminal case, The News, Jul. 21, 2019
  10. 10.0 10.1 The LNG Industry: GIIGNL Annual Report 2022. May 2022.
  11. 11.0 11.1 11.2 11.3 11.4 11.5 11.6 Excelerate Energy and Engro Elengy Terminal Agree to Expand Pakistan LNG Import Terminal, PR Newswire, January 20, 2021
  12. GIIGNL 2021 Annual Report, accessed May 5, 2021
  13. John Snyder, Newbuild FSRU will underpin Pakistan's growing demand for gas, Riviera, Feb. 10, 2020
  14. GIIGNL 2021 Annual Report, accessed May 5, 2021
  15. John Snyder, Newbuild FSRU will underpin Pakistan’s growing demand for gas, Riviera, Feb. 10, 2020
  16. Engro awaits govt's approval to build second LNG terminal, The News, Jan. 20, 2021
  17. Zafar Bhutta, No agreement yet on new floating terminal, The Tribune, Jun. 19, 2021

Related GEM.wiki articles

External resources

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