Mitsui O.S.K. Lines (MOL) has entered into a strategic investment agreement with Delfin Midstream Inc, an LNG export infrastructure development company utilizing low-cost FLNG technology solutions.
Delfin is the parent company of Delfin LNG and Avocet LNG LLC. Delfin LNG is a brownfield Deepwater Port with up to four FLNG vessels producing up to 13.3 MTPA of LNG.
Delfin LNG received a positive Record of Decision from MARAD and approval from the Department of Energy for long-term exports of LNG to countries that do not have a Free Trade Agreement with the United States. In addition, Delfin has purchased the UTOS pipeline, the largest natural gas pipeline in the Gulf of Mexico.
“Our low-cost, simplified floating liquefaction solution will be significantly enhanced by MOL’s extensive marine expertise, creating a world-class partnership with significant benefits for both Delfin and MOL,” said Dudley Poston , CEO of Delfin.
“Proceeds from MOL’s investment will be used to accelerate making Final Investment Decisions on our first two FLNG vessels this year. MOL has long been a leading LNG infrastructure company while also investing in innovative solutions such as Floating Storage and Regasification Units (FSRU).”
Under the investment agreement, MOL will take a seat at Delfin’s Board of Directors as the company seeks to accelerate LNG exports from North America to customers around the world.
The agreement also provides MOL with the opportunity to make additional investments directly in Delfin’s Floating Liquefied Natural Gas (FLNG) vessels and establishes a framework for MOL to assist in the construction and operation of these vessels.
“The Delfin team has deep experience successfully converting LNG carriers into both FSRUs and FLNG vessels,” said Wouter Pastoor , COO of Delfin.
“Combining that skillset with MOL’s capabilities will drive future expansion and enable Delfin to safely and reliably accelerate clean low-cost LNG exports from North America to customers around the world.”
“Drawing on our extensive expertise gained from previous LNG Carrier and FSRU projects and other ventures, we anticipate collaborating with Delfin to successfully drive forward this project toward our initial shared goal of quickly making Final Investment Decision on the first FLNG vessel,” Takeshi Hashimoto , President and CEO of MOL addded.
As part of the agreement, Suryan Wirya-Simunovic will join Delfin’s Board of Directors. Mr. Wirya-Simunovic is MOL’s Executive Officer for Energy-Related Business for Europe, the Americas, and Africa and has over 30 years of experience in the energy and maritime sectors.