Excelerate Energy to develop Iraq’s first LNG import terminal

Core Insights - Excelerate Energy has signed a definitive commercial agreement for a fully integrated liquefied natural gas (LNG) import terminal at the Port of Khor Al Zubair in Iraq, marking a significant step in Iraq's energy sector [1][5] - The project includes a five-year contract for regasification services and LNG supply, with a minimum of 250 million standard cubic feet per day (mscf/d) of offtake and a regasification capacity of 500 mscf/d [2][3] - The total investment for the project is estimated at around $450 million, which includes the cost of the floating storage and regasification unit (FSRU) [2] Company Strategy - Excelerate Energy aims to enhance Iraq's energy security by combining terminal development, LNG supply, and operational expertise, with operations expected to commence in 2026 [3][4] - The FSRU, Hull 3407, under construction in South Korea, will have a storage capacity of 170,000 m³ and a regasification capacity of up to one billion standard cubic feet per day [4] - This project represents Excelerate's first fully integrated floating LNG import terminal in the Middle East, extending its global infrastructure platform [5][6] Market Impact - The floating LNG import terminal is a historic milestone for Iraq, enabling the country to access global LNG markets for the first time and reducing dependency on imported pipeline gas [4][5] - The agreement reflects the growing global demand for regasification infrastructure and reinforces Excelerate's position as a leading provider of integrated LNG solutions [6]