A new timetable has been set for the long-delayed LNG terminal at Vassiliko, with contractors estimating its completion in October instead of July.
Construction of a jetty as part of the Liquefied Natural Gas (LNG) Receiving and Regasification Terminal at Vasiliko has recently begun.
While preparation of the FSRU vessel moored to the jetty for 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 at the end of October 2023.
Initially, there were hopes of it being ready by early 2022.
Representatives of the Consortium CPP – Metron Consortium LTD, the project’s contractors, said that the difficulties and delays caused by COVID lockdowns in Cyprus and much more in China caused long delays.
The war in Ukraine was also said to be a factor in the delays.
Completion of the project is now expected at the end of October instead of July 2023.
Heading the consortium are China Petroleum Pipeline Engineering, Metron Energy Applications S.A., Hudonzg-Zhonghua Shipbuilding and Wilhelmsen Ship Management.
They have signed a contract with Cyprus’ Natural Gas Infrastructure Company (ETYFA).
Construction work on the FSRU, carried out in Shanghai, is said to be 90% complete.
The ship will have a dual-class, as an FSRU and an LNG Carrier capable of international trading.
Engineers from the project’s lenders have visited the site three times to assess progress.
EU funding of €101 mln has been secured for the project through the Connecting Europe Facility (CEF).
Additional financing was secured through the participation of the Electricity Authority of Cyprus with €43 mln, while the rest 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 mln.
The project falls within the development area of the Vasilikos Master Plan and is a Project of Common Interest (PCI) for the EU.
The construction consists of a floating import, storage, and regasification of the LNG unit (FSRU), the jetty to which the floating unit will be permanently attached, mooring facilities, pipeline on the jetty, overland pipeline up to the border of the Vasilikos Power Station, natural gas installations at the NG delivery point and NG storage system 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 in the energy sector.