Mitsui OSK Lines (TYO:9104) is investing $300 million, equivalent to about 23% of the $1.4 billion total equity contribution, after making a final investment decision to participate in the Delfin FLNG 1 offshore liquefied natural gas project.
The US-based facility aims to produce 4.4 million tons of LNG annually and is expected to start production in 2030, according to a statement on Thursday.
The project has secured all necessary permits and long-term LNG offtake agreements with Vitol, Gunvor, Centrica, and Expand Energy.
With the final investment decision in place, Delfin FLNG 1 will move into the execution phase and sign a construction contract with Samsung Heavy Industries (KRX:010140).
In addition to its equity investment, Mitsui OSK Lines will provide technical expertise drawn from its floating storage and regasification unit operations, as well as experience in ship-to-ship LNG transfers.