Golar LNG is splashing out $705m to give the 126,000-cbm Moss Rosenberg built Golar Gimi (built 1976) a new life as a FLNGV.
The costly conversion will get underway in the second quarter of next year and take approximately 33 months.
Keppel is the primary contractor but a deal for the topside equipment has been signed with the Black & Veatch engineering and construction group and agreements will also be signed for long lead time items such as gas turbines and cold boxes shortly.
The Golar Gimi project mirrors the conversion of the Golar Hilli by Keppel earlier this year.
Golar LNG said it had secured beneficial cancellation provisions, which if exercised prior to November 2015, will allow the termination of the contracts and the recovery of previous milestone payments, less a set cancellation fee.
Nasdaq listed Golar said the Gimi FLNGV conversion represents a further step in a strategy of becoming the leading integrated midstream LNG services provider, supporting resource owners, gas producers and gas consumers.
“This strategy was launched with the conversion of the Hilli to a floating liquefaction facility and further underpinned by the recent heads of agreement for the development of a floating liquefied natural gas export project in Cameroon,” Golar added.
Keppel which revealed it was negotiating the Golar Gimi deal in September confirmed the value of the contract as approximately $705m
John Fredriksen had a near 46% stake in Golar LNG through World Shipholding but sold most of his stake earlier this year.
The shipowner's former lieutenant, Tor Olav Troim, remains a director of the company.
