MHI to collaborate with BW Offshore in LNG-FPSO

The two companies plan to sign a memorandum of understanding (MOU) and the collaboration aims to improve the position from which to propose LNG-FPSO to potential customers throughout the world by combining their expertise. Through MHI’s experience of constructing numerous LNG carriers and offshore structures and BW Offshore’s significant experience with FPSO projects, the two companies will accelerate their marketing activities to execute their first LNG-FPSO project.

The agreement outlines the joint development of design and joint marketing activities, mainly targeting LNG-FPSO projects, with around two million tonnes per annum production capacity. Specifically, MHI will take charge of the vessel’s hull and LNG storage tank portion while BW Offshore, among others, will be responsible for the pre-treatment and liquefaction facilities and production and mooring solutions. By combining the strengths of the two companies, an LNG-FPSO that accurately responds to customer needs becomes possible to propose as a package. For LNG storage tanks, MHI will propose MOSS type spherical containment tanks.

While demand for LNG is increasing, its production and development is moving to offshore gas fields. As a result, LNG-FPSO, which can eliminate long pipeline and offers facility moving capability, is drawing much attention. At present, gas development projects using LNG-FPSO are either planned or being discussed on offshore sites in many countries including Australia, Indonesia and Brazil.