KOGAS, Partners Forge FSRU Cooperation

Business & Finance

Korea Gas Corporation (KOGAS) has teamed up with compatriot shipping lines on a  floating storage and regasification unit (FSRU) business cooperation.

The move targets to revive Korean shipping and shipbuilding industries which have been considerably impacted by the ongoing troubles in the maritime industry.

The partners include H-Line Shipping, Hyundai LNG Shipping, Pan Ocean, SK Shipping, and Korea Line Corporation (KLC).

Under the agreement signed on July 18, the parties agreed to participate jointly in overseas FSRU projects within a consortium that would bid for operating FSRUs in countries in Asia and Americas, local media informed.

As explained, the partnership would avail of KOGAS’ experience in building and operating LNG terminals, and the compatriot shipping companies’ experience and know-how in shipping of LNG.

The FSRU market has been singled out due to its growing potential amid rising demand for LNG and the advantages of floating LNG terminals such as low initial investments costs and short construction period.

World Maritime News Staff