Golar LNG Ltd. last week executed an engineering, procurement, and construction (EPC) contract with Yantai CIMC Raffles Offshore Ltd. (CIMC Raffles) for its fourth floating LNG (FLNG) and second MKII design FLNG vessel with an annual liquefaction capacity of 3.5 million tonnes/year (tpy). Golar’s fourth FLNG is expected to be delivered from the shipyard by end 2029. A donor vessel for the conversion project has been secured.

The converted vessel will be similar to FLNG Esperanza currently under construction at CIMC Raffles. Esperanza will be installed at the port of San Antonio Este, Rio Negro, Argentina, as part of YPF’s Argentina LNG development.

Golar says significant synergies will be realized from building a repeat design and from having two units with overlapping construction at the same shipyard. As part of the new EPC agreement with CIMC Raffles, Black & Veatch will provide its licensed PRICO liquefaction technology, perform detailed engineering and process design, specify and procure topside equipment, and provide commissioning support for the FLNG topsides and liquefaction process.

The order will boost Golar’s combined FLNG liquefaction capacity to more than 12 million tpy. Golar is targeting a long-term charter contract for the unit.

The FLNG conversion project has a total budget of about $2.45 billion, delivered to its prospective site.