Knutsen seals LNG FSU deal in Honduras

Norway’s Knutsen Group has agreed on a charter deal with Genesis Energias in Honduras for its 2004-built LNG carrier Bilbao Knutsen.

The 138,000 cu m vessel will be used as an LNG floating storage unit (FSU) as part of an LNG-to-power project.

The vessel, that marked Knutsen OAS Shipping’s entry into the LNG market, will be converted into an FSU by HD Hyundai Marine Solution.

The business arm of HD Hyundai Group said earlier this year, without disclosing the name of the vessel, that the conversion would cost about $30m and be completed in the first half of 2025.

Genesis will import LNG through a terminal it is currently building in Puerto Cortes on Honduras’ Caribbean coast utilising the Bilbao Knutsen for the onward transmission of LNG to the Brassavola thermal power plant.

UK law firm Watson Farley & Williams advised Genesis on the transaction.