Golar-secures-20-year-Argentinian-FLNG-contract

Golar secures 20-year FLNG contract in Argentina

OSLO, July 8, 2024 – New York-listed Golar LNG has signed an agreement with Pan American Energy (PAE) for the 20-year deployment of a FLNG vessel in Argentina, Golar announced on Friday.

The project will monetise gas from the Vaca Muerta shale formation in the Neuquina Basin, the world’s second-largest shale gas resource.

As part of the agreement, Golar will take a 10% stake in Southern Energy, a joint venture with PAE for operations, the purchase of domestic natural gas and the sale and marketing of LNG volumes from Argentina. LNG exports are expected to start in 2027.

The project aims to utilise Golar’s FLNG vessel Hilli Episeyo, converted in 2017 and capable of processing 2.45 million tpy. Golar has an option to swap for another suitable Golar FLNG unit. The financial terms of the deal were not disclosed.

“We are excited to enter a partnership with PAE. The project will provide an international outlet for Argentina’s vast and attractive natural gas reserves, creating value for Argentina and its gas stakeholders,” said Karl Fredrik Staubo, CEO of Golar LNG.

Golar envisions this agreement as the first phase of a potential multi-vessel project that will be joined by other large natural gas producers in Argentina.

Photo of FLNG vessel Golar Gimi courtesy of Golar LNG

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