JGC Bags 1st Deal for LNG Plant

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Japanese engineering company JGC Corp., announced that it has won in Oman its first contract for the basic design of a liquefied natural gas plant for fuel supply to ships, says an article published in Nippon.

Shift from fuel to LNG

JGC aims to tap demand for such plants that is expected to increase in line with an expected shift of ship fuel to LNG amid tightening environmental regulations. 

The value of the order was not disclosed.

What is the contract for?

JGC was awarded a front-end engineering and design contract for a medium-size LNG plant for fueling vessels to be built at an Omani port under a project led by Total E&P Oman Development BV, a fully owned subsidiary of France’s Total SA.

The plant will produce LNG from natural gas transported via pipelines from gas fields. The expected annual output capacity is one million tons.

2020 regulations

Global environmental regulations to be introduced in 2020 for ship fuel are expected to accelerate the shift to LNG, which releases smaller amounts of pollutants than other fuels.

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Source: Nippon