LNG

Jan 24 (LNGJ) – Russia’s Gazprom said it was meeting Greek company Prometheus Gas S.A. on January 27 to consider unwinding the 50-50 joint venture set up in 1991 between Gazprom Export and Greece’s Copelouzos Group.

   Gazprom said that natural gas deliveries to Prometheus Gas under a contract with Gazprom Export began in October 2016. Then in 2017 the companies signed a long-term contract for the supply of up to 1 billion cubic metres of gas annually to Greece from January 2018 to December 2027. “The three main importers of Russian natural gas in Greece are the state gas company Public Gas Corporation of Greece (DEPA), Mytilineos and Prometheus Gas,” added Gazprom.

Leading European Union LNG import terminal owner and grid operator Enagás has signed an agreement in Madrid with Albania on helping the Balkan nation’s natural gas company AlbGaz develop its markets and infrastructure.

The Prime Minister of Albania Edi Rama and Spain's Energy Minister Teresa Ribera attended the signing of the Enagás-AlbGaz agreement along with the Albanian Minister of Energy and Infrastructure Belinda Balluku.

The Balkan region is one of the most vulnerable in terms of the lack of energy diversity and security and the signing of this accord is seen as another step towards helping Albania develop its economy.

AlbGaz is the Albanian Transmission System Operator (TSO) and is working to modernize the gas system in the country.

The actual gas agreement was signed by the Chief Executive of Enagás Arturo Gonzalo and his AlbGaz counterpart Arber Avrami to collaborate in the development of gas infrastructure in Albania.

“This agreement lays the foundations to contribute to the security of energy supply, not only in Albania but also at the regional level, and to the decarbonization of its economy, displacing polluting fuels and also promoting renewable gases,” said a statement.

Partnership

Arturo Gonzalo pointed out that the agreement opened up relevant avenues for future collaboration between the Spanish and Albanian gas industries.

“Cooperation between European TSOs is key in the current context. The accord is aligned with the purpose of Enagás to contribute to security of supply and decarbonisation in Europe,” added Gonzalo.

Enagás said it was already cooperating with Albania through is 16 percent shareholding of the Trans-Adriatic Pipeline (TAP) which connects Turkey with Italy through Greece and Albania.

AlbGaz CEO Avrami said his nation viewed Enagás as valuable partner.

“There are possibilities for cooperation in a series of projects that include the Vlora LNG import terminal in Albania and the Dumrea Underground Storage as well as small-scale LNG distribution,” added Avrami.

“ I am convinced that this cooperation will be an additional guarantee for the realization of these ambitious projects and the vision that foresees the transformation of Albania into a regional energy centre., he stated.

A proposal was made in July 2021 for Excelerate Energy of the US and US major ExxonMobil to start a feasibility study on developing an LNG import terminal at the Port of Vlora in southern Albania.

Under that accord, Excelerate would conduct a study to explore the potential of an integrated LNG-for-power solution for the Albanians.

This would include developing an LNG import terminal, converting or expanding the existing Vlora thermal power plant and establishing small-scale LNG distribution in Albania and for the surrounding Balkans region.

Greece’s Copelouzos Group has signed contracts for the implementation of a gas-fired combined-cycle power plant planned for the eastern Greek port of Alexandroupolis where an offshore LNG import terminal is planned.

Copelouzos said the contracts were for the supply and the long-term maintenance of the main equipment for the 840-megawatts facility being developed along with Greece’s Damco Energy SA and General Electric of the US.

The floating LNG terminal is a separate project from the onshore power plant and is being developed by Greek company Gastrade.

The Alexandroupolis LNG floating storage and regasification unit will have storage capacity of 170,000 cubic metres and regasification capacity of at least 5.5 billion cubic metres of natural gas per annum.

The FSRU will be moored in an offshore area about 17.6 kilometres southwest of the port of Alexandroupolis.

The floating unit will be connected to the Greek National Natural Gas Transmission grid through a pipeline system of a total length of 28km.

Copelouzos said that for its power plant project the company subsidiary Ilektroparagogi Alexandroupolis SA will be responsible for the implementation of the investment and construction will start before the end of 2021 and be completed by the spring of 2024.

Copelouzos added that the building of the gas-fired plant would strengthen the local economy as well as when operation start.

“During the construction 600 people are going to be employed, while it is estimated that 90 permanent job positions will be created during the whole lifetime of the project,” explained Copelouzos.

“In addition, and in conjunction the other projects of the Copelouzos Group, the unit will make the area of Alexandroupolis an energy hub, a fact that will attract further investments and result in economic growth and prosperity of the greater area,” it stated.

The natural gas transmission network of Bulgaria has completed its share participation transaction in the Alexandroupolis floating LNG import terminal proposed to supply the Balkans region with regasified volumes from offshore northeast Greece.

GasLog Ltd, the LNG carrier fleet owner with 36 ships split with its US affiliate GasLog Partners, posted a first-quarter 2020 loss as LNG demand faced multiple headwinds.

Greece, Cyprus and Israel have signed an agreement to build a 1,900-kilometre subsea pipeline to transport natural gas from the East Mediterranean to West European markets in competition to LNG.