Mitsui O.S.K. Lines (MOL) and Karpower International, a unit of the Turkish Karadeniz Holding, have agreed to jointly carry out the first LNG-to-Powership project under the co-brand Karmol in Mozambique.
For this purpose, the two companies will jointly own and operate an FSRU and a Powership, MOL said in its statement, noting that the pair have already introduced the concept of LNG-to-Powership solution outlining the Mozambique project.
This LNG-to-Powership project consists of the collaborative operations of the FSRU to deliver regasified LNG and the Powership to receive regasified LNG in order to produce electricity, which is subsequently provided to Electricidade de Moçambique (EDM), the Mozambican National Power Utility, through the electricity connection and transmission facility.
The FSRU is now being converted from an existing LNG carrier, while the Powership is currently operating with heavy fuel oil in Nacala, but in accordance with the prior arrangement with EDM, it will be switched to operation with LNG after the FSRU delivery.
In the past years, Mozambique has seen rapid economic growth, which in order to sustain requires the increased supply of stable and affordable supply of electricity.
Karmol’s LNG-to-Powership solution with power generation capacity of 120 MW will create the supply of electricity for the people of Mozambique and, provide critical infrastructure for the use of LNG within Mozambican territory.
When completed, the project will be the first LNG -to Power solution and FSRU project in Eastern and Southern Africa.
MOL and Karpowership intend to continue to jointly develop LNG-to-Powership projects all over the world.