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2024 February 2   15:58

GAZ-SYSTEM selects MOL for further arrangements of terms of delivery of the first FSRU to Poland

On January 30, 2024, GAZ-SYSTEM has selected the best offer for the delivery and operation of the Floating Storage Regasification Unit (FSRU) intended to serve as an LNG regasification terminal in the Gulf of Gdańsk. GAZ-SYSTEM will continue negotiations of the terms of the FSRU Time Charter Party agreement with Mitsui O.S.K. Lines, according to the company's release.

MOL has 140 years of history in the international shipping industry and operates one of the world’s largest merchant fleets consisting of nearly 800 vessels. MOL’s LNG fleet is the world’s largest with almost 120 vessels including 7 FSRU units.

The shipowner was selected in a tender process; one of its stages involved the conclusion of the so-called Term Sheet agreements in November 2023 with two shipowners offering the best terms for the delivery and operation of the FSRU.

The Program assumes the FSRU berthed at a mooring platform approximately 3km from the shore, in the area of the Port of Gdańsk between the mouths of the Vistula River branches: Śmiała and Martwa. As part of the Program, also the necessary offshore and onshore infrastructure will be constructed.

In July 2023, GAZ-SYSTEM completed the process of obtaining administrative decisions for all onshore pipelines to be built under the Program. In August 2023, in an Open Season procedure, full regasification capacity of the FSRU Terminal accounting for 6.1 bcm was booked for a period of 15 years.

In December 2023, as part of the ongoing offshore engineering work, geological surveys in Gdańsk were completed. They will provide the results for subsoil analysis necessary to determine the location of the landfall of the offshore gas pipeline and its route.

GAZ-SYSTEM is also exploring the potential of the construction market before launching tenders for the construction of offshore infrastructure. As part of the RFI (Request for Information) procedure, on 16 January 2024, a meeting with potential EPC contractors (Design & Build project) was held at the Company head office in Warsaw. The participants represented 20 companies experienced in delivering the largest and comprehensive projects of this type.

Commissioning of the complete project is planned in 2027/2028.
 
In November 2023, the European Commission considered the onshore gas pipelines planned for construction as part of the FSRU Terminal eligible for loans under the National Recovery Plan (NRP) in the REPowerEU chapter on the development of infrastructure needed to meet the most urgent security of supply needs (Component G3.2. - Improving energy infrastructure and facilities to meet immediate security of supply needs for gas).

Under the Connecting Europe Facility (CEF), the European Commission awarded the LNG Gdańsk project a grant for the action: "Pre-investment works to obtain a construction permit for the offshore part of PCI 6.27 LNG Gdańsk (PL)". The maximum amount of the awarded grant is approximately EUR 19.6 million.

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