MOL Signs Long-Term Time Charter Contract for Singapore’s 1st FSRU
-Contributing to Stable Supply of Energy in Singapore-
Mitsui O.S.K. Lines (MOL) has announced a new partnership with Singapore LNG Corporation for a long-term contract involving a Floating Storage and Regasification Unit (FSRU). This new FSRU will be constructed by Hanwha Ocean in South Korea and is expected to be delivered in 2027. Once ready, MOL will own, manage, and operate the FSRU, which will be stationed at Jurong Port in Singapore.
How the FSRU Will Help Singapore’s Energy Needs
The FSRU will play a key role in helping Singapore secure a steady energy supply. It will receive, store, and convert liquefied natural gas (LNG) back into gas and send it to shore. Since around 95% of Singapore’s electricity is generated from imported natural gas, this project will help ensure that the country can meet its growing energy demand reliably.
This will be the first-ever FSRU in Singapore and is considered an important addition to the country’s energy infrastructure. FSRUs are known for being cost-efficient, with quicker construction timelines compared to traditional onshore facilities.
MOL’s Global Experience with FSRUs
MOL has built a strong reputation by managing FSRUs in Turkey, Hong Kong, and Indonesia. This experience has helped the company become a trusted partner for governments and energy providers worldwide. MOL is actively expanding its FSRU operations, with new projects underway, including a recent agreement to supply an FSRU in Poland.
Sustainability and Innovation Goals
This project is a part of MOL’s larger strategy to grow beyond traditional shipping into areas that support sustainable infrastructure and energy. The new FSRU aligns with MOL’s “BLUE ACTION 2035” plan, which focuses on creating low-carbon and decarbonized solutions. MOL is committed to finding innovative ways to help reduce environmental impact while supporting global energy needs.
This project also contributes to the MOL Group’s Environmental Vision 2.2, which emphasizes sustainable business growth and environmental conservation. The company aims to continue providing services that help communities grow while protecting the planet.
What is an FSRU?
An FSRU (Floating Storage and Regasification Unit) is a floating facility that stores LNG and converts it back to gas offshore before sending it to land. Compared to building onshore storage and regasification plants, FSRUs are cheaper and quicker to deploy, making them an ideal solution for countries with growing energy needs.
Technical Details of the FSRU for Singapore
- Length: 298.8 meters
- Width: 51.0 meters
- LNG Storage Capacity: 200,000 cubic meters
- Regasification Capacity: 5 million tonnes per year
- Shipyard: Hanwha Ocean Co., Ltd. (South Korea)
- Delivery Date: 2027
MOL’s Focus on Sustainability
MOL has identified five key sustainability areas that guide its business efforts. This FSRU project directly supports MOL’s commitment to:
- Safe transportation and social infrastructure development.
- Environmental conservation, both for the oceans and the planet.
- Community development, helping people and businesses grow.
- Technological innovation to advance marine and energy solutions.
