Delfin Midstream has announced the signing of a letter of award (LoA) with Samsung Heavy Industries (SHI), advancing towards a final investment decision (FID) for its energy infrastructure project in the US.
The LoA designates SHI as the exclusive engineering, procurement, construction and installation (EPCI) contractor for the first floating liquefied natural gas (FLNG) vessel at the Delfin LNG project, granting Delfin Midstream exclusive construction rights at SHI’s dock.
As outlined in the LoA, the parties have agreed to initiate an early engagement phase, team mobilisation and project de-risking to prepare for the upcoming execution.
This follows Delfin Midstream’s earlier procurement of the manufacturing capacity for the FLNG vessel’s gas turbines from Siemens Energy, marking significant progress in both debt and equity financing.
The announcement paves the way for an FID in November 2025 for the offshore Louisiana project.
The partners have extended their collaboration to include the second and third FLNG vessels for the Delfin project.
The companies also aim to explore strategic business and trade opportunities, including shipbuilding cooperation, for the third FLNG vessel.
Delfin Midstream CEO Dudley Poston said: “We are very pleased with the commercial and financing workstreams closing in for an FID on the Delfin LNG project. With this LoA we further strengthen our construction pathway, not just for the first but also the second and third FLNG Vessels.
“Finally, we are excited that the Delfin project can foster increased cooperation in trade, energy and shipbuilding between the Republic of Korea and the USA.”
Delfin Midstream, a developer of LNG export infrastructure, employs cost-effective floating LNG technology.
The company’s brownfield deep-water port can accommodate up to three floating LNG vessels, with a production capacity of up to 13.2 million tonnes per annum (mtpa) of LNG.
The Delfin floating LNG project is set to be the first LNG export deep-water port facility in the US.
It is expected to contribute to the economy and create jobsover the long term.
Earlier in March, Delfin and SEFE Securing Energy for Europe signed a heads of agreement for the long-term supply of 1.5mtpa of LNG for a minimum of 15 years.
