You heard about the LNG plant; what about the Agrium Plant? - Our Speech in Kenai Yesterday - Homer Gasline - Subsidy of Instate Gas?
Kenai Project Report, February 10, 2011, (More here from heavyliftpfi -dot-com):
Earlier this month, Fairstar signed a Letter of Intent to provide a total land and marine logistics solution to transport 115 modules as well as related equipment from the Agrium Kenai Nitrogen Operations, comprising Plants 4, 5, and 6, from Kenai, Alaska to Ossiomo, Nigeria.
Under the terms of the LOI, Fairstar will be responsible for the interface management of the land transportation in Alaska with Mammoet as well as the land transportation interface in Nigeria with Premier Logistics.
The Marine Transportation Contract, expected to be finalised in March, has an approximate value of USD25 million and will require both the Fjord and Fjell to mobilise to Alaska in early July in order to facilitate the loading of the modules for transport to Nigeria. Once Fjord has discharged its modules in Nigeria, it will immediately proceed to Angola where it is contracted to load FPSO components for the DSME Clov FPSO Project and sail with this cargo to the DSME Yard in Okpo, Korea. Subsequent to the DSME contract, Fjord will sail to either the Hyundai Yard in Korea or another site designated by the Kellogg Joint Venture - Gorgon to pick up the first of its multiple voyage modules for transport to the Gorgon LNG facility on Barrow Island, Australia.
Fjord is now scheduled to be fully utilised for a period of approximately two years from July 2011 at day rates averaging throughout the period of over USD80,000.
Fjell is also scheduled to arrive in Kenai, Alaska in early July and will sail to Nigeria shortly after the Fjord has departed. Fjell will discharge its cargo in Nigeria sometime in December 2011.
A company statement notes that because of the need to use both Fjord and Fjell for this project, Fairstar has declined the request to cut the transportation rate previously agreed for the return of the JB 115 from Melbourne to Rotterdam. It says that the rate suggested by the client holding the return option was very close to break even and would have positioned the Fjell back in Rotterdam causing an unattractive increase in the mobilisation costs involved in sailing to Alaska.
The company also says that the total transportation solution provided by Fairstar from Alaska to Nigeria is the first of its kind in the marine heavy transport industry and adds that the complexity of combining the land transportation provided by Mammoet and Premier Logistics with the marine transportation interfaces is a reflection of Fairstar's growing reputation as a skilled project manager able to combine the proper ships with the necessary imagination required to successfully execute a "door to door" logistics solution.
