The development of the global LNG market and the commoditisation of hitherto expensive floating storage technology (both FSUs and FSRUs) have provided an impetus for a modern twist on power projects, allowing CCGTs to accept gas from international LNG cargoes. This combination of FSU/FSRU and gasfired generation is particularly suited to jurisdictions where an indigenous gas transportation network does not exist and power prices are sufficient to support the higher capex/opex requirements of what are essentially "back-to-back" projects.

An LNG-to-power project involves the following constituent parts:

  • the importation and delivery of LNG, typically on a long-term basis;
  • the receipt, storage and regasification of the LNG by FSRU (or an FSU with onshore regasification);
  • the delivery of gas (upon regasification) to the CCGT power plant; and
  • the supply of the power generated to the off-taker(s).

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