Last month, Danaos announced that it will make a $50 million equity investment in the Alaska LNG project, while it will also be the preferred tonnage provider to construct and operate at least six LNG carriers.
This is the company’s first move in LNG.
Coustas provided further details regarding the development during the Danaos fourth-quarter earnings call on Tuesday.
He was asked about the project timeline, the number of ships Danaos could bring to the project, and the duration of the charters.
“Well, the current timeline for the completion of the project is 2030,” he said.
“In terms of the number of ships, there are going to be between six and ten ships required for these volumes,” he said.
“It depends a bit also on the exact routing where these ships are going to be employed, but it will definitely be from Alaska to the Far East,” Coustas said.
“But of course, it is different if it is, let us say, North in Korea or a bit more south towards the Thailand area. So all that will play out a bit later. And we will need to start really placing orders practically in about a couple of years’ time,” he said.
In terms of charter duration, this project is “really a very long-term project.”
“We are talking about employment for ten, twenty years, something like that,” Coustas said.
Alaska LNG
Last year, Glenfarne signed definitive agreements with state-owned Alaska Gasline Development Corporation to become the majority owner of the giant Alaska LNG export project.
Glenfarne is developing Alaska LNG in two financially independent phases to accelerate project execution.
Phase One consists of a 739-mile, 42-inch pipeline to transport natural gas from Alaska’s North Slope to meet Alaska’s domestic energy needs.
Moreover, Phase Two will add the LNG liquefaction terminal and related infrastructure to export 20 million tonnes per annum (mtpa) of LNG.
Since becoming the lead Alaska LNG developer, Glenfarne has secured preliminary commercial commitments from leading LNG buyers in Japan, Korea, Taiwan, and Thailand for 11 mtpa of LNG, according to the firm.
The company also secured strategic partnerships that include Baker Hughes and Posco International.
