A floating storage and regasification unit controlled by Hoegh LNG Holdings has been snapped up by energy major BP at a red-hot rate to work as a trading vessel.

LNG market players have widely reported that the 170,000-cbm Hoegh Giant (built 2017) has been fixed at a rate of about $300,000 per day for a period until March.

They indicated that the vessel would likely be used by BP to give it cover over the winter period before going on hire to an upcoming regasification project in 2023.

Speaking after the Norwegian regasification specialist announced its third-quarter results last week, Hoegh LNG’s relatively new president and chief executive Erik Nyheim told TradeWinds that the company will have five of its FSRUs working in Europe from 2023.

Major contribution

He said together these will have a combined regasification capacity of around 20 billion cubic metres,which the company feels is a significant contribution to the energy situation in Europe.

Aside from the 170,000-cbm Independence (built 2014), which has been stationed in Lithuania since it was delivered, the 170,000-cbm Hoegh Esperanza (built 2018) is scheduled to arrive in Wilhelmshaven in December.

Nyheim said another Hoegh LNG FSRU will go to Brunsbuttel in Germany. He said it is not his place to give the timing on this and did not name the vessel concerned.

A second unit for Germany — the 145,130-cbm FSRU Neptune (built 2009) — will shortly head to the TotalEnergies-led project in Lubmin.

Nyheim said there is one more FSRU — the fifth for Europe — which will “be confirmed later”. He declined to give further details, citing the many stakeholders in the project.

In May, Hoegh LNG signed charter contracts for two of its FSRUs with the German Federal Ministry for Economic Affairs and Climate Action.

The company has been working with trader RWE on the vessels, while Uniper is cooperating with Dynagas on a second pair also booked by the German state. Those involved said there is some interchange on vessels that will serve each of the country’s planned projects.

Nyheim confirmed that both the Hoegh Giant and Hoegh Gannett, which have been undergoing work in shipyards, are fixed on long-term charters but would not say where these vessels will be deployed.

He said Hoegh LNG believes there is a need for more regasification capacity in Europe and said the company is looking at, and is ready to do, LNG carrier-to-FSRU conversions.

Nyheim said Hoegh LNG would look at both its own fleet along with other donor vessels. The company currently lists two LNG carriers in its own fleet, in which it is a shareholder.

Nyheim said the organisation would always consider FSRU newbuildings but admitted that it is “challenging” to secure early delivery slots at present.