Amigo LNG, the Mexican joint venture of Texas-based Epcilon LNG and Singapore-based LNG Alliance, has handed out an engineering, procurement, and construction (EPC) contract to the UAE-based Drydocks World for the floating liquefied natural gas (FLNG) liquefaction facility at its future LNG terminal in Guaymas, Sonora, Mexico.
Thanks to the EPC contract for the proposed Amigo LNG facility, Drydocks World will be in charge of the fabrication and delivery of the FLNG and related floating storage units (FSU) infrastructure to support LNG operations.
More specifically, the firm will convert two LNG carriers into FSUs and construct two FLNG barges at its yard in Dubai. The barges will incorporate advanced U.S.-based pre-treatment and liquefaction technologies.
“This EPC award represents a pivotal milestone for AMIGO LNG. By partnering with Drydocks World on the world’s largest FLNG facility, we are securing best-in-class quality, exceptional production capacity, and reliable long-term performance of this critical asset,” said Muthu Chezhian , CEO of LNG Alliance.
Once operational in the second half of 2028, the four-vessel facility will provide more than 4.2 million tonnes per annum (mtpa) of liquefaction capacity, which the developer says is greater than any existing floating LNG development worldwide.
“We are also harnessing the key advantages of FLNG solutions — from faster project schedules to rigorous testing and seamless pre-commissioning in a controlled fabrication yard environment, as well as the substantial environmental benefits this approach delivers,” added Chezhian.
Strategically located on Mexico’s west coast and supplied with natural gas from the U.S. Permian Basin, the facility is expected to boost Mexico’s role in global energy supply by enabling direct LNG exports and shorter routes to meet the growing demand for LNG in Asia and Latin America.
This comes on the heels of the EPC contract for the future plant’s marine facilities awarded to COMSA Marine earlier this month . The deal covers the LNG jetty, berthing and mooring facilities, and associated utilities to support LNG loading operations.
Amigo LNG also executed a long-term sale and purchase agreement (SPA) with Macquarie Group to deliver 0.6 mtpa of LNG to Macquarie’s Commodities and Global Markets business for 15 years. LNG supplies are expected to start once Amigo LNG’s first liquefaction train is online.
Michael Bennett , Managing Director in Macquarie’s Commodities and Global Markets business, noted: “LNG is a critical component of the global energy mix, providing a reliable and flexible fuel source. This agreement reflects our commitment to meeting the diverse energy needs of our clients worldwide and demonstrates the strength of our offering in this space.”
A supply deal for the new plant’s LNG was recently inked with Gunvor, which will buy 0.85 mtpa of LNG for 20 years once Amigo LNG’s first train is up and running. Before that, a 20-year LNG deal was signed with Sahara Group.