FLNG is not just a game-changer in cost profile. It has the potential to open access for monetisation of gas through global LNG for the benefit of countries and resource holders, without the dependency on the uncertainties that capital management within IOCs has brought in the past and does so now increasingly. With eight vessels successfully operational we argue the industry has matured and is evolving fast.
Highlights
- Floating LNG (FLNG) solutions are highly applicable to independents and national oil companies (NOCs) holding stranded and associated gas resources, perhaps of smaller scale or in challenging geographies.
- Attention has moved to how FLNG can be used to capture value from different types of gas resources in different settings. The speed and cost advantages of the technology are proven.
- FLNG has lowered the barrier to entry even further and is democratising the LNG industry just as the phenomenon of US gas liquefaction achieved 10 years ago.
- Success in FLNG will be achieved through a project development mindset, whole value chain thinking and the creativity to explore innovative commercial structures. With the right approach there is no reason why the benefits of FLNG cannot continue be reaped by all resource holders, not just international oil companies (IOCs)
Gas Strategies value
Our clients value our partnership in the structuring, development and marketing of LNG projects because we bring an intimate understanding of the market and the considerations made by LNG buyers as well as project financiers. Our people have stood in your shoes and continue to do so as advisors to a diverse range of LNG projects around the world, bringing understanding of the role and requirements of all stakeholders necessary to make a successful project development. We have (to date) supported clients on seven FLNG projects, several of which have already reached FID, and have further engagements ‘in flight’.
Read more about how FLNG has democratised liquefaction and download the report.
