Standard Chartered seals financing for FSRU

The FSRU will be constructed at South Korea's Hyundai Heavy Industries (HHI). Indonesia's state-owned PT Perusahaan Gas Negara (Persero) Tbk (PGN) will charter the Indonesia-flagged FSRU.

Standard Chartered is acting as joint structuring bank and sole coordinating bank to support Hӧegh LNG’s expansion into the LNG regasification market in Asia, the bank said.

“This transaction allowed Standard Chartered to bring together our strong franchise in Indonesia, our deep understanding of K-sure and our sector expertise across oil & gas and offshore vessel financing to tailor the best solution and meet our client’s needs,” said Aneesh Mahajan, regional head of structured export finance at Standard Chartered.

The FSRU, when completed, will help to channel gas supplies into the industrial heartland of West Java, benefitting many of the local industries and businesses in the region.

“FSRUs represent a quick, flexible and less capital intensive solution in securing countries new LNG import capacity, and has proven to be an ideal solution in meeting Indonesia’s need for energy,” said Sveinung J. S. Stohle, president and ceo of Höegh LNG.

Other mandated lead arrangers and hedging banks involved in the financing were BTMU (Joint Structuring Bank), DBS, OCBC and KDB.