Towage services provider Svitzer has signed a ten-year Time Charter Party with FGEN LNG Corporation (FGEN LNG), a wholly-owned subsidiary of First Gen Corporation (First Gen), for the provision of towage and other vessel support services required by FGEN LNG’s Interim Offshore LNG Terminal. These will feature a Floating Storage and Regasification Unit (FSRU) that will be located at the First Gen Clean Energy Complex in Batangas City in the Philippines.
Svitzer will provide four new 75-ton bollard pull tugboats to assist the FSRU and LNG carriers that will deliver LNG to it – for berthing, un-berthing, navigation assistance – and provide other services including fire-fighting, pollution control, port and vessel security services, pilot and boarding party transfer, and fender management.
Commenting on the contract win, Nicolai Vinther Friis, Managing Director for Svitzer AMEA, said, “We are truly pleased that FGEN LNG has chosen Svitzer as a trusted partner and provider of towage services for the FGEN LNG terminal in Batangas Bay. Our two companies share many of the same values and, at Svitzer, we look forward to collaborating with FGEN LNG on ensuring the energy security of the Philippines and to be part of the country’s green transition. This important contract adds a new country to the global Svitzer portfolio and expands our ability to provide safe and efficient towage and marine services support to more customers across the globe.”
Operations are planned to begin as early as Q3 2022, and Svitzer will now take the first steps to set up operations in the Philippines, which will include hiring 72 seafarers and five onshore staff, all local Filipinos. It is a key priority for Svitzer to ensure that its operations contribute positively to the communities in which Svitzer operates, which implies investing in local communities by providing training and professional development for members of the local workforce.
Commenting on the collaboration with Svitzer, Jon Russell, Executive Vice President and Chief Commercial Officer at First Gen, said, “The provision of high-quality marine services will be vital to making the FGEN Project successful and our decision to select Svitzer came after a detailed evaluation of Svitzer’s technical capabilities and experience in this specialised activity as well as its commercial and contractual competitiveness. Svitzer has a track record of successful engagements in similar projects around the world, and throughout the process demonstrated a collaborative attitude, tailoring its offer to meet the specific needs of FGEN LNG. We look forward to working closely with the Svitzer team on this exciting project that will enhance the energy security of the Philippines and play an important role in the transition to a decarbonised economy.”