May 12 (SeeNews) - Montenegro’s government said on Friday that it has signed a Memorandum of Understanding (MoU) with US-based companies Enerflex Energy Systems and Wethington Energy Innovation for the construction of a liquefied natural gas (LNG) terminal and a combined cycle thermal power plant (TPP) at the port of Bar.
The project will help ensure Montenegro's energy security, the government said in a press release.
"From the moment construction begins, it shouldn't take more than two years for the capacities to become fully operational," prime minister Dritan Abazovic said.
The two US parties intend to propose financing structure for the two projects upon completion of feasibility studies, according to the MoU.
Based on preliminary information and subject to further front end engineering development, Enerflex estimates that the investment in the LNG terminal project would be in the range of 130 million euro ($141.8 million) to 250 million euro, according to the MoU. Enerflex contemplates that the offloading pier would be able to handle 25,000 bbl per hour and the storage facility would have an approximate capacity of 250,000 bbl, with these dimensions to be refined in further discussions between the Montenegrin government and Enerflex.
The parties to the agreement contemplate the installation of a combined cycle power plant, with a capacity of at least 240 MW and a maximum of 440 MW, located close to the LNG terminal, with General Electric power plant equipment. Total investment in the TPP project is estimated between 200 million euro and 500 million euro, depending on the installed capacity.
Enerflex Energy Systems is an integrated global provider of energy infrastructure solutions, covering gas processing, compression, power generation, refrigeration, cryogenic, energy transition, and water solutions.
Wethington International Innovation is an investment and business advisory firm focused on advising institutions on capital investment, financial structure, and business strategy in emerging markets
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