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Project Insights

FID imminent on Hong Kong LNG

CLP Power is expected to take an FID on Hong Kong’s first LNG import project within months, after announcing firm agreements for a giant FSRU and initial LNG supply CLP Power is expected to take an FID on Hong Kong’s first LNG import project within months, after announcing firm agreements for a giant FSRU and initial LNG supply.
By Damon Evans 24 June 2019 Asia Pacific / LNG 0 34337
The Hong Kong LNG project will use Mitsui OSK's Challenger FSRU. (MOL)

News of an impending FID on Hong Kong's planned FSRU project bodes well for LNG sellers. The city offers a sizeable premium market for the fuel that is set to expand rapidly as the local government is intent on switching away from coal to gas to improve the territory’s air quality.

Hong Kong’s gas demand was 3.1 billion cubic metres in 2017 and 3.0 bcm in 2018, according to BP's Statistical Review of World Energy, with much of the fuel used for power generation. However, demand is expected to...