Puerto Rico set to import gas from FLNG offshore Mexico

New Fortress Energy has agreed to contact terms for the long-term supply of LNG to Puerto Rico.

Volumes will likely be delivered to San Juan from NFE’s 1.4-MMt/yr Fast LNG facility FLNG1, which is stationed offshore Altamira, Mexico, under a partnership with Mexican state-owned utility CFE. The vessel is currently producing LNG consistently at a rate above name plate capacity, the company said in a press release of September 16.

NFE negotiated the seven-year gas supply agreement (GSA) with Puerto Rico’s Third-Party Procurement Office and the Puerto Rico Public-Private Partnerships Authority. The contract is now undergoing review by the Financial Oversight and Management Board of Puerto Rico.

The company said the volumes contracted will enable conversion of further gas-ready plants on the island currently burning diesel. Up to 75 TBtu of natural gas per year can be supplied through the GSA.

NFE already has a 25-year supply contract with Energiza and the new 550-MW power plant the latter is currently developing.