Thursday, January 30, 2025

Germany builds LNG import terminals

January 30, 2025

Germany is increasing its natural gas imports to replace Russian supplies. This drive has been intensified due to the recent suspension of Russian gas flows via Ukraine, and U.S. president Donald Trump's targeting Europe with LNG exports.

Here are some details about the terminals that will be developed to house floating storage regasification (FSRU) units for seaborne LNG.

The plans also include facilities for importing and producing ammonia, green hydrogen and other gases under the decarbonisation strategy.

MUKRAN

Mukran, located on Ruegen Island in the Baltic Sea supplies LNG to onshore grids via Gascade's OAL pipeline.

In September, the private company Deutsche ReGas began reloading LNG from the LNG tanker Coral Energy. It also used smaller tankers to transport LNG to areas without pipeline access.

The site was opened to regular operations by FSRUs Energos Power, Neptune and Energos Power.

Gascade completed its 50 km (30 mile) OAL infrastructure one year ago. Existing onshore pipelines NEL EUGAL OPAL offer long-distance transportation to southern geographies.

ReGas has long-term supply agreements with TotalEnergies in France and the trading group MET.

ReGas is concerned that the state-owned Deutsche Energy Terminal GmbH may lower its rates to attract cargoes for its terminals located in the western part of North Sea, where business has been slow.

Mukran has provoked local opposition but all legal challenges against it have been dismissed.

LUBMIN

ReGas, the Norwegian LNG-tanker company Hoegh and Mukran's forerunner, Mukran, signed a contract in June last year to turn this Baltic Sea port into an ammonia/hydrogen terminal.

The Federal Administrative Court backed Lubmin’s operations on October 14, dismissing a lawsuit brought by the environmental group DUH.

In German media, DET stated that FSRUs will be operational in winter at Stade as well as Wilhelmshaven 2, without specifying exact commissioning dates.

Hanseatic Energy Hub's (HEH) final investment decision in March led to the official opening of a "land-based ammonia ready" terminal in June last year. The terminal is scheduled to start operations in 2027.

The FSRU Energos Force is expected to be operational until 2027 before the onshore terminal begins operations.

Costs are expected to be around 1 billion euro ($1.04 billion) for the onshore terminal to be built by Spain’s Tecnicas Reunidas.

The gas that has arrived there is allocated to the state-controlled SEFE utility EnBW, and Czech utility CEZ.

HEH has the backing of investment firm Partners Group as well as logistics group Buss and chemicals company Dow.

It said that a separate consortium led by Buss is developing plans for an electrolysis plant of 100 megawatts (MW), which will be decided in 2026.

WILHELMSHAVEN

Utility Uniper launched Germany’s first FSRU operations, Wilhelmshaven 1 on the North Sea in 2022.

Uniper has two green gas systems planned for the future. It will install a land based ammonia reception terminal, and cracker to produce green hydrogen in the second decade of this century.

It announced in November that it had selected U.S. company Electric Hydrogen to supply a 200MW electrolyser which would be powered by local wind energy.

Tree Energy Solutions (TES) plans a second FSRU called Wilhelmshaven 2, which has not yet been installed. It says that it will eventually convert to clean gas.

BRUNSBUETTEL

Brunsbuettel FSRU began operations in April 2023 along the North Sea Coast. It was initially chartered by RWE and operated by its trading arm, before being handed over to DET beginning 2024.

The facility is a precursor to a land-based Liquefied Natural Gas (LNG) plant that has been approved for 40 million euro of state assistance.

The terminal could begin operations by the end of 2026 when an adjacent ammonia facility, which was recently inaugurated, could also be operational.

Shell, Gasunie, and KfW are all investors in the project.

(source: Reuters)

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