A new floating storage unit (FSU) has finally arrived off Bahrain’s first LNG-import terminal, but commercial start-up has been pushed back again.
The 173,400-cbm Bahrain Spirit (built 2018), which was originally contracted as an LNG carrier but modified to serve as an FSU, shifted over to Bahrain at the end of July after lying idle off Dubai for the past six months.
The Teekay LNG-controlled vessel is understood to have arrived with cargo onboard.
Those working closely with the project said there is still work to be completed shoreside. They stressed that the issues delaying the project are to do with the land-based elements.
“Teekay is ready to rock and roll,” one said, referring to the FSU.
In a recent results call, Teekay Gas Group president and chief executive Mark Kremin said his company sees the start-up of the terminal as “a second half of the year event”.
Commissioning underway
Kremin said commissioning of the terminal is underway. He explained that when issues were found where these involve long lead items, the start-up schedule is affected.
When questioned further by analysts, he added that it is possible that the start-up could slide into the fourth quarter.
Teekay controls a 30% stake in Bahrain LNG, which has been built with an onshore regasification plant to be supplied from an FSU. The facility is located in the Hidd Industrial Area to the north-east of Khalifa Bin Salman Port that will offer 800m standard cubic feet per day of capacity.
The arrival of the Bahrain Spirit has been pushed back on several occasions.
The terminal was due to be ready for operations in 2018 but, late last year, Teekay said it was planning for a start-up date in the first quarter of this year.
Kremin said the Bahrain Spirit has been on hire to the project since the start of this year.
Aside from Teekay, local developer The Oil & Gas Holding Co controls a 30% stake in Bahrain LNG, with Gulf Investment Corp on 24% and Samsung C&T Corp on 16%.
