Höegh LNG has signed of a Floating Storage Regasification Unit (FSRU) contract with Quantum Power Ghana Gas Limited (QPGGL) for the Tema LNG import terminal located near Accra in Ghana, reported Ecofin Agency.
As informed by Offshore Engineer, the contract is for a period of 20 years with a five-year extension option for charterer, and is expected to generate an average annual earnings of around $36m.
Infrastructure construction work for the project is scheduled to begin in mid 2017, while the expected delivery time for the FSRU is between 6 to 12 months after construction work begins.
The Tema LNG project, which is supported by national oil and gas company Ghana National Petroleum Corporation (GNPC), is the first such project to be executed in sub-Saharan Africa, according to Quantum Power’s CEO, Matty Vengerik.
Vengerik added: “Höegh LNG’s FSRU solution is a key service component of the natural gas delivery chain that will enable the execution of the Tema LNG Project as well as supplying the growing demand of natural gas in the Tema region and beyond. We expect the LNG import terminal to transform the reliability and competitiveness of the power generation and natural gas markets in Ghana and are looking forward to a long-term relationship with Höegh LNG,”