8th Jun 2020 08:43
(Alliance News) - Energean PLC on Monday said work has restarted on construction of a floating production storage and offloading vessel in Singapore, and the prior delay is not expected to have a material financial impact due to the contracts in place with the contractor and with Energean's customers.
The Mediterranean-focused gas producer is awaiting a floating production storage and offloading vessel to deliver gas into the Israeli domestic market from its flagship Karish-Tanin gas development project, located offshore Israel.
Shares in the company were down 0.1% at 574.46 pence each in London.
The FTSE 250-listed company said the Sembcorp Marine Admiralty Yard in Singapore reopened on June 2 and preparation works for lifting of the topside modules of the Energean Power FPSO have commenced. The forward work programme on the FPSO is, however, contingent on the evolution of the global pandemic and decisions of the Singapore authorities, Energean added.
The key FPSO activities required to achieve first gas from Karish-Tanin project includes topsides integration and commissioning activities in Singapore, expected to take approximately 10 months, and then the towing of the FPSO to the Karish field in Israel and subsequent mooring, hook-up and commissioning, expected to take up to four months.
Energean also said that the laying of the remaining 80 kilometre pipeline to deliver gas from the FPSO to Israel now has commenced. The full pipeline installation and pre-commissioning programme is expected to be completed in the final quarter of 2020.
By Tapan Panchal; [email protected]
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