Following approval in Baghdad from Iraq’s Prime Minister Mohammed Shia’ al-Sudani, Iraq’s Deputy Prime Minister and Foreign Minister Fuad Hussein congratulated Excelerate president and CEO Steven Kobos in a September 25 meeting on the margins of the 80th United Nations General Assembly in New York City, according to a statement by Excelerate.
Development of the integrated floating import terminal, which will be led by Excelerate in coordination with the Iraqi government, represents a “landmark opportunity” to enhance Iraq’s energy security and infrastructure.
Excelerate said the proposed terminal will enable the importation of LNG to support domestic power generation, help stabilize the national grid, and allow Iraq to diversify from unreliable natural gas supply sources.
The firm did not provide further details regarding the terminal and the contract.
Excelerrate noted that the award letter is a preliminary step, and development of the terminal remains subject to the successful negotiation and execution of binding commercial agreements.
The company said it is actively engaged with Iraqi authorities to finalize the necessary contracts and ensure “timely implementation of this critical energy infrastructure.”
“This award is a testament to the strategic partnership between Excelerate Energy and the government of Iraq,” said Kobos.
“We are honored to be selected for this critical infrastructure project and look forward to working closely with Iraqi leadership to bring it to fruition,” he said.
Khor Al-Zubair port
Last month, Iraq’s oil ministry said that it had shortlisted two companies to install a floating storage and regasification unit (FSRU) at the Khor Al-Zubair port in Basra.
The Ministry of Oil said that six firms were invited to submit technical and commercial bids for the project, given Iraq’s urgent need to secure electricity and operate power stations.
Besides the two shortlisted companies, a third bidder’s revised offer, below 500 million standard cubic feet per day, was rejected, while its proposal to operate two separate storage and regasification platforms was dismissed by the Iraqi Ports Company.
The ministry did not provide further details regarding the bidders.
As part of the project, the ministry also noted that the South Gas Company and the Oil Projects Company completed two gas pipelines.
These include a 40-kilometre pipeline from Khor al-Zubair to Shatt al-Arab, and a 45-kilometre pipeline from Al-Mahmoudiyah, south of Baghdad, to the Bismayah power plant.
Recent media reports suggested that Excelerate is in talks with Iraq to provide an FSRU and LNG supplies.
The company operates 11 FSRUs, including a chartered FSRU integrated with the Jamaican assets, one of the world’s largest fleets of such vessels, and these units are located worldwide.
In addition to these FSRUs, Excelerate also ordered one 174,000-cbm FSRU at South Korea’s HD Hyundai Heavy Industries in 2022.
It will pay about $332 million for the vessel, and the FSRU is scheduled for delivery in June 2026.
Excelerate’s recently purchased LNG carrier Excelerate Shenandoah is also the company’s first FSRU conversion candidate.
