Shell and consortium to design new FLNG vessel

Shell Gas & Power Developments has signed a master agreement with a consortium comprising Technip and Samsung to design, construct, and install multiple floating liquefied natural gas (FLNG) facilities over a period of up to 15 years.

Offshore staff

THE HAGUE -- Shell Gas & Power Developments has signed a master agreement with a consortium comprising Technip and Samsung to design, construct, and install multiple floating liquefied natural gas (FLNG) facilities over a period of up to 15 years. Shell, Technip, and Samsung also signed a contract for execution of the front end engineering and design (FEED) for Shell's 3.5 million tonne per annum (3.86 million tons/yr) FLNG solution.

Shell's FLNG solution potential can put gas liquefaction facilities directly over offshore gas fields, precluding the need for long distance pipelines and onshore infrastructure. According to the company, this alternative provides a commercially attractive and environmentally sensitive approach to monetize offshore gas fields.

The broad operating parameters of the Shell design mean it can be redeployed. Shell’s standardized “design one - build many” approach allows material repeatability gains to be captured during design and construction phases. After completing the FEED phase, Shell will examine key aspects of each potential FLNG project in its portfolio before considering a final investment decision.

07/28/2009

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