Stolt-Nielsen Ltd, Golar LNG Ltd and Höegh LNG Holdings Ltd have announced a combined investment commitment of US$182 million in Avenir LNG Ltd to pursue opportunities to deliver LNG to areas of stranded demand, as well as the development of LNG bunkering capabilities.
The investment will be contributed as cash and equity-in-kind and will fund the construction of six small-scale LNG carriers, a small-scale storage terminal and regasification facilities.
Avenir was formed by Stolt-Nielsen in 2017 to provide LNG to markets lacking access to natural gas pipelines. With this joint investment, Stolt-Nielsen will consolidate all its LNG activities into Avenir, including four LNG new buildings on order at Keppel Singmarine in Nantong, China and the joint venture LNG terminal and distribution facility to be constructed in the port of Oristano, Sardinia.
Avenir plans to source and ship LNG to the terminal using small LNG carriers, and to distribute the LNG in trucks and through regasification into local network grids. In addition, Avenir plans to order two further small-scale LNG carriers.
Stolt-Nielsen remains the largest shareholder of Avenir with ownership of 50%. Golar and Höegh each hold a 25% share. Subsequent to the initial capital raised, Avenir LNG intends to raise an additional US$10 million through strategic investors, with plans to register on the NOTC before the end of 2018.
Read the article online at: https://www.tanksterminals.com/terminals/02102018/stolt-nielsen-golar-and-hegh-announce-joint-investment-in-avenir/