Work for the construction of a jetty, as part of the Liquefied Natural Gas (LNG) Receiving and Regasification Terminal in the Vasilikos area in Cyprus, has recently begun. At the same time, the preparation of an FSRU vessel which will be moored to the jetty and will allow LNG to reach the Cypriot market is in an advanced stage in Shanghai.
The construction company has submitted a new timetable for the completion of the project, until the end of October 2023, according to an update of the project's progress on Wednesday, to the relevant government departments and services.
Representatives of the Consortium CPP - Metron Consortiuim LTD which represents the contractors of the project in Cyprus, said that after the difficulties and delays caused by the lockdowns both in Cyprus and much more in China, the schedules have been postponed and the completion of the project is now expected at the end of October 2023 instead of July 2023. At the same time, it was mentioned that the project was also affected by the war in Ukraine, however now everything is back on track.
The contractor of the project is a consortium comprising of China Petroleum Pipeline Engineering Co. LTD, Metron Energy Applications S.A., Hudonzg-Zhonghua Shipbuilding Co. Limited and Whilhemsen Ship Management Limited, that have signed a contract with Cyprus’ Natural Gas Infrastructure Company (ETYFA).
Construction work on the FSRU, the ship " ETYFA PROMETHEAS ", which are being carried out in Shanghai are now completed by 90% according to the contractor. The ship will have a dual class, not only as an FSRU, but will also be classed as an LNG, Carrier a ship capable of international trading.
It was also pointed out that engineers from the project's lenders have already visited the project three times to assess progress. EU funding of €101 million has been secured for the project through the Connecting Europe Facility (CEF). Additional financing was secured through the participation of Electricity Authority of Cyprus with €43 million, while the rest of the money was secured by borrowing from the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD). The total cost of the project amounts to approximately €315 million.
The project falls within the development area of the Vasilikos Master Plan and is a Project of Common Interest (PCI) for the EU. It is located within the boundaries of the Mari Community in Larnaca district, 36 km west of the city of Larnaca.
The construction works that are expected to be completed, consist of a floating import, storage and regasification of LNG unit (FSRU), the jetty to which the floating unit will be permanently attached as well as the mooring facilities, pipeline on the jetty and unloading arms, overland pipeline up to the border of the Vasilikos Power Station, ground natural gas installations at the NG delivery point and NG storage system in order to increase inertia for supply safety (buffer).
The project is owned by ETYFA, a subsidiary of the Public Natural Gas Company (DEFA) and is the largest investment so far for the Republic of Cyprus in the energy sector.