Norway’s Hoegh LNG has emerged as the preferred candidate to provide a floating storage and regasification unit for Chilean power providers Colbun and AES Gener.
The shipping company said the contract on the unit will be for 10 years with start-up scheduled for late 2014.
The clients have an extension option on the FSRU for a further five years.
Hoegh, which beat off other short-listed candidates Excelerate Energy and Mitsui OSK Lines, said the deal is expected to generate an average annual EBITDA of around $41 million.
The FSRU will be located in Quintero bay, close to Santiago, and will supply gas to power plants.
