VOPAK is claiming an advantage in the race to provide LNG imports for Victoria after securing an agreement for a floating storage and regasification unit (FSRU).
The company has entered into an exclusive agreement with Seapeak, a global leader in the storage and transportation of gas liquids, to provide the FSRU for the proposed Vopak Victoria Energy Terminal, effective from 2029.
VVET will be located approximately 19km directly offshore from Avalon in Port Phillip Bay at an existing anchorage site. This site will require no dredging, minimising the impact on marine life, flora and fauna. A new transmission line would connect into the Moorabool Terminal Station, supplying renewable power for the operation of the project which will minimise carbon (CO₂) emissions.
“Securing a vessel for conversion to a FSRU is fundamental for the development of the VVET project,” Paul Kanters, Vopak Australia MD, said. “With the path to deliver an FSRU secured, thanks to our partner Seapeak, VVET is well positioned to deliver gas supply to Victoria that will address the projected supply shortfalls in 2029.”
“Seapeak are proud to support the ongoing development of this landmark project,” said Kate Ferguson, VP of Business Development of Seapeak.
“This partnership reflects our commitment to advancing global energy access through safe, efficient, and flexible LNG solutions that help meet growing global demand.”
The Seapeak agreement comes on the back of VVET recently completing the Full Mission Bridge simulations conducted with Ports Victoria and Port Phillip Sea Pilots, among others. The simulations confirmed the advantages of Vopak’s proposed Port Phillip Bay site for its terminal, demonstrating ease of navigation without any need for new Bay dredging nor compromised gas loading of LNG carriers, Vopak says.
VVET is now able to move to the next step of simulating the berthing and unberthing to the terminal.
“VVET is continuing to progress its EES and is pleased to be working with the Government on the 18-month timeline for completion that was outlined in the Premier’s 2024 Economic Statement,” the company said.
Viva Energy is behind the other advanced gas import project, which would be located at the port of Geelong in Corio Bay.
Separately, the New Zealand Government is reportedly like to approve the deployment of a FSRU for LNG imports at Port Taranaki, as the country looks to replace diminishing supplies from offshore gas fields.