An LNG carrier owned by Norway’s Höegh Evi has arrived in Singapore to begin a major rebuild that will give it a new role in Egypt’s gas system. The vessel will be converted into a floating regasification unit and is expected to enter service later this year.
A familiar hull, a very different job ahead
The ship in question, the Höegh Gandria, has docked at Seatrium’s yard in Singapore, marking the official start of its conversion from a conventional LNG carrier into a floating storage and regasification unit, or FSRU.
For Höegh Evi, this is familiar ground. The company has spent years repositioning existing LNG vessels into fast-deployed FSRUs for countries short on import infrastructure, especially during periods of tight gas supply.
The work underway in Singapore is extensive but focused. Engineers will fit regasification systems, integrate control and safety equipment, test the full setup, and then carry out a general refurbishment of the vessel’s exterior and onboard spaces.
Once complete, expected in the fourth quarter of 2026, the unit will be capable of delivering up to 1,000 million standard cubic feet of natural gas per day into Egypt’s network.
It’s a big leap from hauling LNG across oceans to acting as a stationary gateway for gas imports.
Why Egypt is betting on floating infrastructure again
Egypt’s interest in another FSRU is rooted in recent experience. In mid-2024, the country brought its first floating regasification unit, the Höegh Galleon, into service to manage swings in domestic supply and seasonal demand.
That vessel helped stabilize flows during periods when local production dipped or consumption spiked. But it was always intended as a shorter-term solution.
The converted Höegh Gandria is set to replace that unit and remain on station for up to a decade at Sumed Port, a strategic hub tied into Egypt’s energy export and transit system.
For Cairo, floating units offer flexibility that land-based terminals struggle to match. They arrive faster, cost less upfront, and can be redeployed if conditions change.
And conditions, as everyone in the gas market knows, rarely stay still.
Inside the Singapore conversion yard
Seatrium’s Singapore yard has become a regular stop for LNG conversions, especially as demand for FSRUs surged after 2022. The facility is set up to handle large-scale retrofits without taking vessels out of service longer than necessary.
The Höegh Gandria project includes several distinct phases, starting with structural preparations and moving into systems installation and testing.
In practical terms, the yard’s scope covers:
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Installation of onboard regasification modules and vaporizers
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Integration of gas send-out systems with safety and monitoring controls
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Commissioning tests to ensure steady delivery rates under varying conditions
One short sentence sums it up. This is heavy engineering, not a cosmetic tweak.
Höegh Evi has leaned on this conversion model before, arguing that speed matters as much as capacity in today’s gas market.
Capacity that reshapes the local balance
At full output, the converted FSRU will be able to feed up to 1,000 mmscf per day into Egypt’s gas grid. That figure matters more than it might sound at first glance.
Egypt sits at a crossroads. It is both a producer and an importer, an exporter and a consumer. Domestic fields in the Mediterranean still deliver large volumes, yet demand from power generation and industry can strain supply during peak periods.
An FSRU of this size gives operators breathing room.
It allows imports to ramp up quickly when needed, without locking the country into permanent onshore facilities that may outlast their usefulness.
Gas traders also pay attention. Floating terminals can respond faster to spot cargoes, which is increasingly relevant as LNG trade shifts away from rigid long-term schedules.
A broader signal from Höegh Evi’s playbook
For Höegh Evi, the Gandria project fits a wider strategy built on reuse and speed. Instead of ordering newbuild FSRUs with long delivery times, the company has focused on converting existing LNG carriers with solid operating histories.
That approach shortens project timelines and keeps capital costs in check. It also appeals to governments that want quick solutions without decade-long construction cycles.
There is another angle too. Reusing vessels extends their commercial life, which resonates at a time when shipping faces pressure to justify new tonnage and emissions footprints.
No grand speeches here. Just practical math.
Egypt’s gas story keeps shifting
Egypt’s gas position has changed several times over the past decade, swinging from importer to exporter and back again as new fields came online and domestic demand surged.
Floating infrastructure has become a kind of insurance policy.
The arrival of Höegh Gandria, once converted, reinforces that approach. It doesn’t lock Egypt into one path. It keeps options open.
And in energy markets, optionality is often worth more than raw capacity.
As work continues in Singapore, the vessel sits quietly in the yard, stripped down and waiting for its rebuild. When it leaves later this year, it won’t be just another LNG ship.
