Nakilat signs deal to set up JV and buy 55% stake in FSRU

Nakilat has signed an agreement with Texas-based Excelerate Energy to establish a joint-venture entity and acquire a 55% stake in a floating storage regasification unit (FSRU) as part of efforts to expand its global footprint. “This acquisition is pivotal to Qatar, as this is the first FSRU co-owned by a Qatari company, which paves the way for Qatari liquefied natural gas (LNG) to expand its outreach to developing and emerging markets. This will enable Nakilat to widen its international outreach and thus, secure its industry-leading position in the dynamic and competitive LNG market,” said HE the Minister of Energy and Industry, Dr Mohamed bin Saleh al-Sada.

Nakilat chief executive Abdullah al-Sulaiti said it is proud to be the first Qatari company to acquire ownership in an FSRU as it aims at maintaining its leadership in energy transportation and simultaneously support the country’s position as the top exporter of clean energy worldwide. Excelerate Energy is a well-recognised global leader in floating LNG regasification solutions, and this agreement marks the beginning of Nakilat’s penetration into the FSRU market, he said.

Nakilat signing the agreement with Excelerate. The deal marks the beginning of Nakilat’s foray into the global market for floating storage regasification units.

“This opens up a new business avenue for Nakilat to sustain its long-term growth and development strategies, which in turn will further maximise value and returns for our shareholders. We shall continue to develop in-house capabilities to establish and develop know-how in the management of FSRUs to achieve the company’s vision in becoming a global leader and provider of choice for energy transportation and maritime services,” al-Sulaiti said.

Excelerate Energy’s managing director Steven Kobos said it values this important foundational relationship with Nakilat and its FSRUs ensure rapid-to-market and reliable LNG solutions that complement its integrated services along the entire LNG value chain. “This offering of the FSRU unit to the joint-venture company along with Nakilat’s expertise and reputation as the world’s largest LNG ship owner will serve Qatar well as they seek access to emerging global LNG markets. We look forward to a successful working relationship with Nakilat and Qatar,” he said.

Sources and photo-credits: Gulf Times