Mitsui O.S.K. Lines (MOL) announced the signing of agreements with Swan LNG Private Limited (Swan LNG) for the long-term operation / maintenance of a floating, storage and regasification unit (FSRU) and provision and long-term operation / maintenance of a floating and storage unit (FSU) that will serve as the core receiving facilities in an LNG terminal to be developed by Swan Energy Limited (Swan Energy) in Gujarat, India.
The FSRU serving this project is being ordered and owned by Swan Energy through its subsidiary, and MOL has an option to participate in the FSRU joint ownership. The option is exercisable any time before the delivery of the FSRU at shipyard.
Moreover, MOL will invest in Swan LNG and participate in many facets of the project as technical partner. The terminal is slated to start operation in early 2020.
FSRUs are drawing attention as a solution for flexibility and mobility in the LNG supply chain. MOL will promote the FSRU business, which meets customer needs for diversified LNG procurement, as one of world's largest LNG carrier operators and the only Japanese FSRU owner and operator.
This will be India's first newbuilding FSRU project, and part of MOL's initiatives to "pursue vertically integrated businesses that are not limited to transportation in the LNG business," in addition to expansion of the LNG business in the growing Indian market. MOL is always ready to move assertively into progressive and creative business fields and contribute to the growth of the LNG business.