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Company Negotiates With GNA, at Porto do Açu, Entry Into Brazil to Operate and Maintain LNG Terminal

Written by Paulo Nogueira
Published on 21/10/2019 at 11:01
Updated on 21/10/2019 at 12:52
Porto do Açú GNL KN GNA
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The Lithuanian Liquefied Natural Gas Terminal Operator Klaipedos Nafta (KN) is Currently Negotiating an Agreement for the Operations and Maintenance of GNA’s LNG Terminal at the Port of Açu in Rio de Janeiro

Port of Açu – KN said that if the agreement is approved, it may commit to incorporating a company in Brazil for the provision of these services. For this reason, KN may need to provide a guarantee to ensure compliance with the obligations of the Brazilian company to GNA or its legal successor under the terms of the contract during the duration of the business.

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The guarantees may be given directly by KN to GNA for the obligations of the Brazilian company or indirectly, where KN guarantees the compliance of the Brazilian company’s obligations to third parties. The total maximum amount covered by these guarantees will be limited to 100% of the Brazilian company’s annual revenue.

The guarantees may consist of a fixed rate, subject to annual inflation, or a variable rate, depending on terminal usage, and changes are subject to annual inflation and compensation for incurred expenses.

The total amount in one year must not exceed EUR 5.9 million (US $ 6.5 million) during the first year of the terminal’s commercial operations.

The GNA I UTE project, scheduled to enter commercial operation in 2021, consists of a 1.3 GW natural gas combined cycle power plant, an LNG regasification terminal, a transmission line, and a substation. The total project cost is estimated at US $ 1.2 billion.

The project is part of the largest natural gas thermoelectric park being built by GNA at the Port of Açu. The company will also build the GNA II UTE with 1.7 GW of installed capacity. Together, the two plants will have a capacity of 3 GW.

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Paulo Nogueira

Graduated in Electrical Engineering from one of the country's technical education institutions, the Instituto Federal Fluminense - IFF (formerly CEFET), he worked for several years in the offshore oil and gas, energy, and construction sectors. Today, with over 8,000 publications in online magazines and blogs on the energy sector, the focus is to provide real-time information on the Brazilian job market, macro and microeconomics, and entrepreneurship. For questions, suggestions, and corrections, please contact us at informe@clickpetroleoegas.com.br. Please note that we do not accept resumes at this contact.

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