LNG

The proposed floating LNG terminal at the Italian Port of Piombino in northwest Italy has filled 86 percent of the regasification and cargo slots even amid a pending legal decision on whether the facility can start up as planned.

Italy has approved two projects for floating LNG import terminals off the coast of Ravenna in the eastern Adriatic Sea and at the West Coast port of Piombino, opposite the island of Elba.

Italy has said that as part of its energy security strategy two floating storage and regasification units (FSRUs) will be added to the three existing LNG import facilities.

The two new LNG terminals, both to be operated by Italy's state-controlled gas grid operator SNAM, will have a capacity of 5 billion cubic metres, covering around 15 percent of national annual gas consumption.

The FSRUs will be Italy’s fourth and fifth LNG import terminals after the onshore facility at Panigaglia near Genoa, another FSRU owned by OLT Offshore Toscana off the port of Livorno and the Adriatic LNG facility, an offshore gravity-based structure on the east coast.

The FSRU destined for Ravenna, the 170,000 cubic metres capacity “BW Singapore”, was purchased by SNAM and is currently bound by a charter agreement with a third party after which it will be deployed by the end of 2024.

SNAM Chief Executive Stefano Venier said that preparatory works would last two years with the Ravenna terminal expected to start operations in the fourth quarter of 2024.

“We have chosen Ravenna and Piombino both for the technical characteristics they offer us, but also because they're close to consumers,” stated Venier.

Italy is planning on the Piombino FSRU being operational by the end of March 2023.

The Piombino terminal will be in the form of the deployment of the 154,950 cubic metres capacity FSRU vessel “Golar Tundra”.

Ideal location

The port of Piombina was chosen because there was no other place in that region of Italy where there was a substantially unused jetty of 300 metres in length.

In addition the FSRU will be only 8.8 kilometres (5.5 miles) from the main SNAM gas network connections.

SNAM also officially ended its gas injection campaign at the end of October with the level of gas stocks managed by subsidiary Stogit reaching 95.2 percent for a total of 11.2 Bcm of natural gas in addition to the 4.5 Bcm held as strategic reserves.

The network operator added that the national energy system would also have access to an additional 1.1 Bcm held in the storage facilities of other operators.

“The supply of gas from storage will take place in the coming months on the basis of the guidelines soon to be issued by the Ministry of the Environment and Energy Security using transparent auction mechanisms,” added SNAM.

Sept 20 (LNGJ) - The 174,000 cubic metres capacity vessel “Gaslog Greece” has entered the Mediterranean and is scheduled to discharge a US cargo this week at Italy’s largest terminal, the offshore Adriatic facility, according to shipping data. The terminal is co-owned by ExxonMobil and QatarEnergy. The “Gaslog Greece” lifted the cargo on August 29 from the Sabine Pass plant in Louisiana, operated by Cheniere Energy.

Venice LNG, a company owned by Italian industrial groups Decal SpA, said it had obtained an authorization decree for the construction and operation of a small-scale LNG storage terminal in the industrial area of ​​Porto Marghera.

The permit has come from the Italian Ministry of Economic Development in agreement with the Ministry of Infrastructures and Transport.

The main infrastructure will consist of a 32,000 cubic metres capacity small-scale LNG import terminal able to receive feeder ships of up to 30,000 cubic metres capacity.

Facilities will be located in an area owned by Decal, alongside the existing oil storage site along the South Industrial Canal and on restored land formerly used for a coal plant.

Venice LNG's construction phase is expected to begin in the third quarter of 2021, while operations are scheduled for start-up by around mid-2024.

“This step forward in the fuel infrastructure for road and marine transport is made possible thanks to a private investment of over €100 million ($120M) by Decal Spa Group through its subsidiary Venice LNG,” said the company.

“The project is promoted and supported by the North Adriatic Sea Port Authority and co-financed by the European Commission under the Connecting Europe Facility initiative for a total of €18.5M ($22.3M),” it added.

LNG will arrive at the Venice storage terminal by small and medium-sized LNG carriers and will be distributed on tank trucks, ISO-tanks and barges.

“Thanks to LNG, pollutants in the atmosphere and in the waters of the Venice lagoon will be drastically reduced,” stated the company.

The authorization incorporates the requirements by all the authorities involved in the procedure, including the Veneto Region, and which must be fulfilled by Venice LNG before and during the construction and operation of the coastal storage facility.

Among the requirements, there will be mitigation of dust and noise emissions during the construction phase, along with an Environmental Monitoring Plan and the implementation of procedures to limit waste production.

“We are pleased to have reached the authorization decree, since it confirms the value of our project ,” said Gian Luigi Triboldi, President and Chief Executive of Venice LNG.

“Our project went through a long technical-administrative path, involving many authorities and the local community too. Now, we are ready to give our contribution to promote the use of LNG, which plays a key role in the energy transition process,” explained the CEO.

In addition to the storage tank, the Venice project also includes a jetty and a system to allow the loading of barges and the installation of a boil-off gas management system.

About three-quarters of the volumes will be aimed at the road transport market and the balance will be sold to the ship bunkering sector.

The largest LNG facility in the region is Adriatic LNG, which imports cargoes from Qatar to be fed into the Italian natural gas transmission system.

The EU is promoting small-scale LNG distribution and more use of the fuel in trucking as part of its clean energy policy.

With the implementation of the International Maritime Organization’s 0.5 percent global sulphur cap in 2020, LNG is being put forward as the most economic and viable alternative fuel for ship owners. 

July 9 (LNGJ) - The Italian Adriatic LNG import terminal is running an auction for five cargo slots, four for August 2020 and one for September 2020. The deadline for the submission of offers is the 13th of July at 14:30 Central European time.

   The unloading slot dates and maximum capacities are as follows: 13-16 August, 217,000 cubic metres capacity; 17-20 August, 145,000 cbm; 21-24 August, 217,000 cbm; 25-28 August, 145,000 cbm; 2-5 September, 217,000 cbm. Offer forms should be submitted to
terminale.gnl.adriatico_mercato@pec.it