Business

July 3, 2014

Black & Veatch gets contract for liquefied natural gas

It will get a big share of a $735 million contract to turn a ship that transports liquefied natural gas into one that also can convert the fuel into a liquid. Singapore-based Keppel Shipyard Ltd. brought in the Overland Park company for engineering and procurement work. In addition, Black & Veatch’s patented process to liquefy natural gas will be used.

Black & Veatch will get a big share of a $735 million contract to turn a ship that transports liquefied natural gas into one that also can convert the fuel into a liquid.

Singapore-based Keppel Shipyard Ltd. brought in the Overland Park company for engineering and procurement work. In addition, Black & Veatch’s patented process to liquefy natural gas will be used.

The collaboration will result in “an innovative solution that brings a faster and more cost-effective alternative to address the competitive global demand for energy,” said Michael Chia, a managing director at Keppel.

Liquefied natural gas — LNG — has typically been processed on land in plants that turn “dry” natural gas into a liquid that is piped into specially designed ships that deliver the fuel to other countries. The fuel is then processed, usually at another land-based facility, to turn it back to natural gas.

But ships with the right equipment can also liquefy the natural gas, offering an option that its advocates say can be done more cheaply and quickly.

The project, instead of building a ship, for the first time will convert an LNG carrier to do liquefaction.

The Golar shipping company owns the LNG ship, which will be sent to Singapore for the conversion. The work is to be completed in early 2017. The ship then will be moored offshore and its LNG offloaded to other ships to deliver the fuel to its destination. Where the Golar ship will eventually be located was not disclosed.

Black & Veatch’s PRICO liquefaction technology is already used in 30 LNG operations around the world. It has a single-mixed refrigerant loop and uses minimal equipment with a more compact process that makes it adaptable for a ship.

“This project supports Black & Veatch’s global growth in providing LNG solutions to meet the growing demand for energy,” said Bob Germinder, vice president of Black & Veatch.

To reach Steve Everly, call 816-234-4455 or send email to severly@kcstar.com.

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