The Japanese shipping company Mitsui O.S.K. Lines (MOL) and Deutsche ReGas have signed a long-term charter agreement for a floating LNG regasification unit (FSRU). The vessel is due to be deployed at the “Deutsche Ostsee” energy terminal in Mukran from 2028.
For the project, an existing LNG tanker is being converted into a Floating Storage and Regasification Unit (FSRU) at the Hudong-Zhonghua Shipbuilding yard in China. Deutsche ReGas will then charter the unit from MOL on a long-term basis. Both companies announced this on Thursday. The signing of the contract was announced on Thursday at a ceremony in Tokyo.
According to MOL, this is the first FSRU conversion project that the Japanese shipping company has developed independently to supply large gas networks. Previously, MOL had carried out similar conversion projects in collaboration with partner companies to meet their specific requirements.
Through this agreement, both companies aim to strengthen Germany’s LNG import capacity and create additional flexibility in gas supply.
Deutsche ReGas aims to fully utilise approved capacity
Deutsche ReGas Managing Director Ingo Wagner regards the Mukran terminal as a key piece of infrastructure for Germany’s energy supply. Restoring the terminal’s fully authorised capacity will continue the course set out in 2024. This is intended to strengthen long-term security of supply and create additional import opportunities for industry and the energy markets.
MOL President Jotaro Tamura described it as a strategic milestone for the company. The collaboration with Deutsche ReGas and the Chinese shipyard is intended to further strengthen MOL’s position as an international provider of LNG infrastructure.
MOL expands its LNG infrastructure business
Through this project, the Japanese shipping company is also pursuing the expansion of its activities along the LNG value chain. In addition to traditional LNG transport, MOL is increasingly involved in the storage and regasification of liquefied natural gas.
As part of its ‘Blue Action 2035 Phase 2’ corporate strategy, MOL has identified the FSRU business as an area offering stable long-term returns.
Deutsche ReGas operates the “Deutsche Ostsee” LNG terminal in the industrial port of Mukran on the island of Rügen. The company had previously built the LNG terminal in Lubmin. Both projects were privately financed. In addition, Deutsche ReGas is pursuing projects for hydrogen production and the development of solutions for hydrogen derivatives.
