EU Provides Funding for LNG Terminal at Port of Gothenburg

EU Provides Funding for LNG terminal at Port of Gothenburg

Liquefied natural gas for shipping by 2015 at the latest. This is the aim behind collaboration between private infrastructure companies and the Port of Gothenburg and the Port of Rotterdam. The project will receive SEK 305 million in funding from the EU.

“EU support is a clear indication of how important shipping is for sustainable transport throughout Europe,” says Magnus K√•restedt, Port of Gothenburg Chief Executive.

A formal decision will be reached in a few months. There are already strong indications that the investment in LNG terminals in Rotterdam and Gothenburg will be one of the EU Commission’s most prioritised Motorways of the Seas projects ever.

The Dutch company Vopak and the Swedish gas infrastructure company Swedegas are investing billions in an LNG terminal in Gothenburg. The terminal will supply LNG to both shipping and industry.

Collaboration with the Port of Rotterdam will involve constructing the necessary infrastructure at the ports and producing regulations for handling LNG. Another key area will be to increase knowledge of LNG as a marine fuel.

“A major benefit of this collaboration is that we can work together and send a very clear signal to the market that LNG will be available at the largest port in Europe and the largest port in the Nordic region. The shipping companies need to be assured of this before investing in new LNG-powered vessels,” says Lars Gustafsson, President of Swedegas.

There are considerable environmental benefits to be gained from using LNG in shipping and industry. Sulphur and particle emissions are reduced to almost zero, nitric oxide emissions by 85-90 per cent and carbon dioxide emissions by 25 per cent.

[mappress]

Port of Gothenburg, July 17, 2013