Höegh LNG Wins FSRU Deal with Cheniere

Norway-based floating LNG giant Höegh LNG has signed a time charter contract for a floating storage and regasification unit (FSRU) Höegh Galleon with Cheniere Marketing International.

The time charter commences in September 2019 after the delivery of the unit, Höegh LNG’s tenth, from Samsung Heavy Industries Co., Ltd.

The terms of the time charter ensure the Höegh Galleon’s availability to serve the AIE project in Port Kembla, Australia, where Höegh LNG is the FSRU provider on a back-to-back basis. AIE recently announced a contract to supply gas to its foundation customer from 1 January 2021.

Under the contract with Cheniere, Höegh Galleon will earn a fixed daily charter rate.

Sveinung J.S. Støhle, President & CEO of Höegh LNG said: "We are very pleased to further develop our relationship with Cheniere, the US’ largest LNG exporter. This charter party will cover the period from delivery of Höegh Galleon until its planned start-up in Port Kembla."

Sveinung added: "Combined with a finalized AIE contract and the project’s FID, Höegh Galleon will have long-term contract coverage in line with HLNG’s stated strategy. Finally, from the commencement of the Cheniere contract in September, Höegh LNG's fleet will be fully employed."