Transborders is preparing to start front-end engineering and design work next year on its 1.5 million tonnes per annum floating liquefied natural gas solution, which is a natural complement to its planned deepC Store carbon capture and storage offshore hub project, launched on Monday.

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The Australian company has completed technical pre-FEED work for its FLNG solution and is optimising design based on specific gas resource opportunities, Matt Holding, Transborders’ study manager, deepC Store project, told Upstream.

“We are also in the final stage of completing negotiations for all key commercial terms that underpin the bankability of our FLNG project — offtake, EPC [engineering, procurement and construction], etc — with our partners, and progressing negotiation with a series of resource owners for deployment and commencing FEED in 2021,” said Holding.

Interest in Transborders’ FLNG solution has come from “Australia, Asia Pacific and globally”, he added.

Transborders earlier this year signed an FLNG solution partnership agreement with Dutch floater specialist SBM Offshore to jointly pursue the deployment of Transborders’ FLNG solution on a range of stranded offshore gas resource opportunities.

The solution offers a pre-engineered 1.5 million tpa FLNG facility with a package of streamlined commercial arrangements and “a robust regulatory approval execution plan” for operators.

SBM has been designated as the exclusive operations and maintenance services contractor for Transborders’ FLNG facilities and SBM will also be the exclusive contractor for the part of the FEED work and the EPC services related to the turret mooring and hull scopes of Transborders’ FLNG units.

Perth-based Transborders claims it can convert a range of stranded gas resources into a "project sanction-ready" state within 24 months of deploying its solution, while also allowing LNG buyers access to competitive supply sources.

In Australia alone, there are about 40 discovered stranded gas assets with resources ranging from around 500 billion cubic feet to 5 trillion cubic feet, representing 65 Tcf or 25% of Australia's total identified gas resources, noted Transborders.

Globally — excluding opportunities in Australia — there are about 200 of such stranded gas resources, totalling 260 Tcf.

Transborders’ FLNG solution development work is designated as a “major project” by Australia’s federal government.