Crown appoints contractors for offshore India LNG terminal

July 6, 2021
Crown LNG has awarded Aker Solutions a FEED contract for the Kakinada LNG regasification project offshore India.

Offshore staff

OSLO, Norway – Crown LNG has awarded Aker Solutions a FEED contract for the Kakinada LNG regasification project offshore India.

This will be located around 19 km (11.8 mi) northeast of Kakinada in Andhra Pradesh province on India’s east coast.

The award includes an option for engineering, procurement, construction, installation, and commissioning of the LNG terminal, to be confirmed following a final investment decision due to be taken by the end of 2022.

As the main contractor, Aker Solutions will be responsible for deliver a concrete gravity-based structure (GBS) for the terminal, with Siemens Energy and Wärtsilä Gas Solutions supporting the company as subcontractors.

Siemens will develop the power generation and distribution and electrical distribution on the GBS, including all control systems, with Wärtsilä supplying the re-gasification system for the terminal.

“This LNG terminal will be based in a location exposed to monsoon seasons, which requires partners with the best track record from harsh environment projects,” said Gunnar Knutsen, CEO of Crown LNG.

The company has an exclusive agreement to finance, build, and lease to client KGLNG, a subsidiary of East LNG. KGLNG has the license to establish the LNG receiving terminal at Kakinada. Crown LNG will also assume operations and management of the facility through the 25-year lease period.

Crown LNG has opted to develop the LNG terminal as a GBS as the best solution to withstand India’s monsoon season, and is targeting a 365-day operating window.

Aker Solutions has a track record of designing and building concrete GBSs for the North Sea and eastern Canada and delivered the concrete Adriatic LNG Terminal.

The company’s scope for the FEED includes technical development of the concrete foundation and topsides, and the pipeline between the offshore regas terminal and the onshore gas grid.

It expects the GBS to be more than 200 m (656 ft) long, around 60 m (197 ft) wide and 40 m (131 ft) tall. The topsides will comprise LNG regasification facilities, supporting systems, living quarters, helideck, cranes, and an electrical and instrument building. 

In addition, Aker Solutions will coordinate soil surveys and construction site development. 

Another advantage of concrete solutions, according to the company, is that they allow for a high degree of local content, as the construction site may be developed locally with no need for an established yard. 

The FEED is expected to commence immediately, with delivery in 2022. 

Wärtsilä brings experience in delivering re-gas systems for more than 20 floating storage and regasification units worldwide. Its system for Kakinada LNG will provide an annual regasification capacity of 7.2 MM metric tons (7.9 MM tons), and will include the boil-off gas (BOG) handling and fuel gas systems.

“Our re-gas systems are delivered as complete modules, with all the engineering, component procurement, and construction of the module carried out entirely by the company’s execution team. This makes integrating the modules very easy,” said Reidar Strande, general manager, Strategy & Business Development, Wärtsilä Gas Solutions.

The LNG terminal should be completed and fully operational roughly three-year following FID.