The practice of converting LNG carriers into floating storage and regasification units (FSRUs) is now well accepted – thanks to innovation by Golar. We pioneered the FSRU conversion concept with the Golar Spirit, which went into operation in Brazil in 2008. We then successfully replicated the process three more times.
Newbuild FSRUs have since established themselves as a cost-effective alternative to conversions, for us at Golar and for other market participants.
An FSRU is an LNG carrier with onboard regasification equipment. It receives liquefied LNG, stores it, and converts it into natural gas for pipelines or onshore processing and power generation. FSRUs have a number of advantages over land-based LNG facilities. They are quicker to build and less expensive. They can be moved from one location to another as the business case demands. They remain largely unseen by the public and are not an unsightly, permanent feature of the landscape.
We put the first FSRU into operation in each of the four areas in which we operate: the Americas, the Middle East, Asia, and Africa. Golar Power, the Golar-Stonepeak joint venture, now plans to convert more of the latest generation of carriers into FSRUs.