According to a Delfin statement on Wednesday, it has entered into an agreement with Siemens Energy to reserve manufacturing capacity for four SGT-750 gas turbine mechanical drive packages.
These packages will be used to drive the mixed-refrigerant compressors for Delfin’s LNG liquefaction system.
Delfin also announced that it has agreed to an early works program with Samsung Heavy and Black & Veatch (B&V) to further detail FLNG vessel design specifications as basis for the engineering, procurement, construction, and integration (EPCI) contract and to prepare both contractors for the execution of the project.
Delfin said the program agreement will further detail FLNG vessel 1 design specifications as basis, while the work will de-risk project execution and ensure both contractors are prepared for immediate project execution following a positive final investment decision (FID).
The company’s activities are in support of FID anticipated in the Fall of 2025 for its project under development in Louisiana and offshore in the Gulf, Delfin said.
2029
Delfin’s brownfield deepwater port requires minimal additional infrastructure investment to support up to three floating LNG vessels producing up to 13.2 million tonnes of LNG annually.
The Delfin floating LNG project has the potential to be the first LNG export deepwater port facility in the US.
Dudley Poston, Delfin CEO, said this is an “incredibly exciting time” for the development of Delfin’s project.
“Following the successful issuance of the deepwater port license by MARAD, all workstreams are on schedule and the project is currently on track for FID in the Fall of 2025,” he said.
“By making this large investment to lock-in critical manufacturing capacity, we have secured our execution schedule with the anticipated delivery of our first FLNG vessel from Samsung Heavy Industries shipyard in 2029,” Poston said.
Extension, deals
Delfin Midstream recently sought an additional extension from the US Department of Energy.
Moreover, Delfin requested that DOE amends its non-FTA export authorization to allow it to start commercial non-FTA exports of LNG by June 1, 2031, providing an additional two-year extension of time beyond that recently granted by DOE.
In March this year, Delfin LNG, a unit of Delfin Midstream, secured a five-year permit extension from DOE.
This extended the start date for Delfin’s export authorization for exports of up to 1.8 billion cubic feet per day (Bcf/d) of natural gas as LNG to non-free trade agreement countries to June 1, 2029.
As per supply contracts, Delfin signed a heads of agreement with German gas importer SEFE to supply the latter with LNG in March this year.
The HoA is for the long-term supply of 1.5 million tonnes of LNG per year for at least 15 years.
Besides this deal with SEFE, Delfin signed an agreement last year with US shale gas producer Chesapeake Energy to supply LNG to Geneva-based trader Gunvor.
Under the SPA, Chesapeake will buy about 0.5 million tonnes per annum (mtpa) of LNG from Delfin at a Henry Hub price with a targeted start date in 2028.
These volumes will represent 0.5 mtpa of the previously announced up to 2 mtpa heads of agreement with Gunvor, Delfin said.
Also, these volumes will add to the SPA Gunvor signed with Delfin in November 2023.
