Hoegh Evi Signs 10-Year Time Charter Agreement for FSRU Deployment in Egypt

Norwegian marine infrastructure provider Höegh Evi has recently announced the signing of a 10-year time charter agreement with Egyptian Natural Gas Holding Company (EGAS) for the deployment of the 2013-built Hoegh Gandria LNG carrier as a Floating Storage and Regasification Unit (FSRU) in Egypt.

The FSRU unit, which will be converted from a 160,548-cbm LNG carrier, is scheduled to be deployed in the fourth quarter of 2026 to the Port of Sumed. It will have the capacity to supply up to 1,000 million standard cubic feet per day (mmscf/day) of peak LNG regasification capacity.

Acquired in February 2023 specifically for this purpose, the Hoegh Gandria will undergo a conversion project to transform it into a high-capacity FSRU for long-term deployment. The conversion work will commence immediately to ensure timely delivery.

The conversion contract has been awarded to Seatrium, a company with a proven track record in delivering similar projects. The scope of work includes the installation of a regasification skid and integration of key supporting systems such as cargo handling, utility, offloading, electrical, and automation systems.

Engineering activities for the project are set to begin this month, with an estimated project duration of 18 months. Seatrium has successfully completed 20 similar conversion projects since 2007, showcasing their expertise in this area.

Once completed, the FSRU Hoegh Gandria will replace the current FSRU Hoegh Galleon, which has been deployed in Egypt since July 2024 under an interim charter from AIE and Höegh Evi. The Hoegh Galleon will continue its operations in Egypt for up to an additional year before being redeployed to the LNG terminal in Port Kembla, Australia, in 2027.