Vopak, Exmar discuss FSRU business share acquisition

Vopak and Exmar announced they are discussing the possibility of an acquisition of Exmar's share in its FSRU business by Vopak.

Vopak has earmarked storage and handling of natural gas and LNG as two of its strategic focus areas. The company is seeking strategic opportunities to strengthen its presence as a service provider in the LNG infrastructure market.

One of Exmar's barge-based, 25-Mcm FSRUs; photo courtesy of Exmar

Vopak jointly owns and operates two land-based storage and regasification terminals—the GATE terminal in the Port of Rotterdam and the TLA terminal in Altamira, Mexico. It is foreseen that new LNG production capacity will significantly influence the energy mix in the coming years.

These LNG streams will need to find new demand centers—e.g., to be connected to national grids serving growing deficit markets and to serve as gas supply for gas-powered electricity production.

These new consumption markets, which often are being served by Vopak's network customers, require quick go-to-market solutions. FSRU assets serve as a solution to capture these opportunities, supported by long-term customer contracts.

In connection with jetty or mooring infrastructure, these vessels provide entry points to distribute LNG in new and existing markets.

In addition, a foothold in LNG infrastructure with a floating solution creates a strategic position to leverage on future LNG flow developments of land-based LNG regasification terminal solutions once markets have matured. Vopak's global network and local presence supports these opportunities.

Exmar, which has been active in LNG shipping for over 35 years and being a pioneer in the FSRU and FLNG market, is co-owner and/or operator of 10 FSRUs, and has one FSRU and one FLNG facility under construction.

Exmar is actively developing business opportunities for long-term use of these two units under construction.

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