Perth-based company Transborders Energy has entered an agreement to work with Japan’s Mitsui OSK Lines (MOL) as it looks to advance its proposed small scale floating liquefied natural gas solution.

Transborders confirmed Monday it had signed a joint study agreement with MOL which will see the MOL collaborate with Transborders, and its existing strategic partners TechnipFMC and Add Energy, on technical pre-front-end engineering and design work.

The agreement will also see Transborders and MOL work together to pre-negotiate key commercial terms of the FLNG solution with existing study partners Kyushu Electric Power, TechnipFMC and Add Energy.

Transborders added the agreement would also see the two companies pursue the deployment of Transborders’ FLNG solution on stranded gas resource opportunities.

“We are very pleased to welcome MOL as a strategic partner to our FLNG solution,” Transborders chairman Jack Sato said.

“In addition to Kyushu Electric Power Company in Japan, participation of MOL, a world-class major shipping line, will definitely underpin TBE’s business model and strengthen the development of our venture. Truly a major step forward.”

The agreement with MOL comes less than a month after Transborders signed a memorandum of understanding to collaborate with Japan’s Osaka Gas on its FLNG solution.

Transborders FLNG solution provides a pre-determined 1.3 million tonne per annum FLNG development concept which it says includes a package of streamlined commercial and regulatory approval framework, including LNG buyers, to gas resource owners.

Transborders expects to complete development work this year and has previously stated it is aiming to sanction its first project around 2020, with deployment of its first LNG technology by the mid-2020s just as a supply gap is expected to emerge in the LNG sector.

LNG

Transborders to work with MOL on FLNG solution