Representatives from Steelhead LNG

South Korean shipbuilding firm Hyundai Heavy Industries received a contract from Steelhead LNG and Huu-ay-aht First Nations for the front-end engineering and design (FEED) of two At-Shore LNG hulls for the proposed Kwispaa LNG project on the west coast of Vancouver Island, Canada.

The contract comes after the developers invited three contractors to bid for the FEED work on the At-Shore LNG topsides, marine facilities, pre-treatment, and remaining onshore plant facilities.

The FEED work is anticipated to begin next year.

Each hull is set to be 340m long and 60m wide and comprise five individual tanks that provide internal LNG storage of around 280,000m³.

The hulls will be constructed at an aggregate cost of $500m.

Steelhead LNG CEO Nigel Kuzemko said: “This agreement with Hyundai Heavy Industries for two At-Shore LNG hulls again demonstrates the technological innovation and creative solutions that we are developing as part of the Kwispaa LNG Project to offer Asia-Pacific buyers with cleaner and competitively priced LNG from Canada.

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“Our goal is to help meet the world’s rising demand for LNG and reduce worldwide greenhouse gas emissions.”

“Our goal is to help meet the world’s rising demand for LNG and reduce worldwide greenhouse gas emissions. At the same time, with our co-management partners, Huu-ay-aht First Nations, we are committed to working with all levels of government to realise the tremendous potential benefits the Kwispaa LNG Project can provide to local communities, British Columbia, and Canada.”

The Kwispaa LNG project is a proposed export facility set to be built at Sarita Bay on land owned by the Huu-ay-aht First Nations.

The partners expect to make a final investment decision (FID) in 2020 and bring the first phase of the project online in 2024.

While the project will have an initial capacity of 12mtpa, there is scope for expanding it to 24mtpa in the future.