BP continues to broaden it’s exposure to natural gas. Wednesday Bp annnounced they will adding six new LNG tankers for more than $1 billion to add to its existing fleet in 2018 and 2019. The tankers will be used to service the Freeport LNG facility among other global destinations.
BP continues to broaden it’s exposure to natural gas. Wednesday Bp annnounced they will adding six new LNG tankers for more than $1 billion to add to its existing fleet in 2018 and 2019. The tankers will be used to service the Freeport LNG facility in Texas among other global destinations. The ships will include a reliquefaction plant that will allow evaporated natural gas to be returned to the LNG storage tanks over the course of transportation.
BP is planning on Freeport LNG Train 1 reaching commercial service by year-end 2018.
“These vessels will significantly increase BP’s ability to safely transport LNG to anywhere in the world, directly supporting BP’s global natural gas strategy. They also will be among the most fuel-efficient and technically advanced LNG tankers ever built. said BP Shipping CEO Susan Dio. “
BP has a long-term contract for 230 Trillion BTUs per year of LNG capacity in the Freeport LNG facility with the first train is expected to be operational by the end of 2018 the company said. Other BP LNG projects include Australia, UAE, Indonesia, Trinidad and Angola.
“BP has built a diverse LNG portfolio spanning both established and emerging markets,” said Alan Haywood, CEO of BP’s global supply and trading business. “Freeport is the latest example of how BP continues to expand the reach of our LNG business and serve our customers with flexible solutions through leveraging our scale, connectivity and relationships – and another sign of our commitment to remaining at the forefront of this rapidly growing and important global business.”
The 2017 BP Energy Outlook forecasts that global LNG trade will grow seven times faster than pipeline gas trade, such that by 2035 it accounts for around half of all globally traded gas. The newly expanded BP Shipping fleet will deliver LNG volumes to a range of BP customers around the world.