Singapore's Sembcorp Marine Buys 12% Stake in Norwegian LNG Terminal Firm

Singapore based Sembcorp Marine has entered into an agreement to acquire a 12% stake in Norway’s GraviFloat, which builds LNG and LPG terminals.

Sembcorp will pay $4 million for the stake and has the right to increase its stake up to 20% by further equity injection.

The GraviFloat technology, which is pending a patent, allows the LNG terminal to be fully built and completed at a shipyard and installed in shallow waters to facilitate direct ship loading of LNG. The GraviFloat terminals are designed to offer a more cost-competitive solution compared with FSRUs (floating storage and regasification units) and land terminals and can be designed for both liquefaction and receiving terminal services.

“We are pleased to welcome Sembcorp Marine as a stakeholder and partner and look forward to working together in new projects ahead. The GraviFloat system is developed as a cost effective solution to meet the trend toward natural gas fueling and is expected to help accelerate the build-out of natural gas terminal infrastructure, particularly in near-shore locations,” Harald Vartdal, CEO of GraviFloat AS, said.