Norway’s Hoegh LNG has secured a charter extension that will see its Colombia-based floating storage and regasification unit employed until at least 2031.
The company confirmed it has agreed a five-year charter extension on the 170,000-cbm Hoegh Grace (built 2016) with Colombian energy importer SPEC LNG.
The FSRU has been on charter to SPEC since 2016 and serves as the regas unit for the SPEC LNG Import Terminal in Cartagena on Colombia’s
The deal also allows for the expansion of access to additional regasification capacity up to 533 million standard cubic feet per day (MMscfd), which would allow for imports of up to 3.8 million tonnes per annum.
No modifications will be required to the FSRU.
“Both companies remain committed to sustainable operations and reduced emissions over the coming years,” Hoegh said.
Hoegh chief executive Erik Nyheim said: “The renewal of our long-standing cooperation with SPEC LNG demonstrates how valuable floating terminals can be as reliable, sustainable and scaleable infrastructure solutions.”
SPEC LNG managing director Jose Maria Castro said: “This positive news arrives at a crucial moment for Colombia. The extension of the FSRU services and the possibility of utilising the regasification capacity of SPEC LNG up to 533 MMscfd will contribute to the long-term supply of natural gas and strengthen energy reliability in the country.”
Colombia has been suffering a drought and has turned to gas-fired generating capacity as a replacement for hydroelectric power.
S&P Global said the country logged record LNG imports in 2023 shipping in 36.3 billion cubic feet (bcf) through its sole FSRU — a huge jump from the 3.3 bcf recorded in 2022. December also hit an all-time monthly high with 9.7 bcf imported, triple that of the previous month.
