German LNG Project Says Open Season 'Positive'

German LNG Terminal, a three-way joint venture to build an import terminal at Brunsbuttel in northern Germany, says it is "delighted" with the outcome of its now-concluded open season.

"A considerable number of memos of understanding has been signed with companies that represent a comprehensive range and complementary interests, ranging from regasification to sendout and LNG distribution services. Next steps include further discussions with potential customers with a view to sign Heads of Agreements," the company - which is jointly owned by Dutch firms Gasunie and Vopak plus Germany's Oiltanking - said May 3. Oiltanking is a subsidiary of Hamburg oil trader and logistics firm Marquard & Bahls.

Necessary engineering work for the permit approval process has already been started by engineering company Tractebel, added the joint venture, so that it can apply for relevant permits by the end of 2018.

Gasunie had announced late November that the open season would start January 2018 for the proposed 5bn m³/yr terminal, capable of receiving Q-Flex LNG carriers of up to 210,000 m³.

German LNG Terminal spokesperson Katja Freitag said May 3: "The open season process has demonstrated that the market has received well the varied range of services to be available at the planned LNG import and smallscale terminal in Brunsbuttel. It confirms that our service portfolio is in line with customers’ needs. We are on schedule to make next steps and have started the necessary permit approval process. If all goes to plan, including obtaining the necessary permits by then, we are due to take a final investment decision at the end of 2019. Following this, we will start the construction work with the terminal possibly becoming operational by the end of 2022.” The joint venture said its terminal would decisively support development of LNG bunkering infrastructure in Germany, and would combine a variety services such as unloading/loading of LNG ships, storage, regasification and sendout into the German gas network, and LNG distribution by trucks.

The German result contrasts with the poor uptake in Croatia, where the state-owned developer of a planned LNG import facility was obliged to postpone the deadline of its open season until next month.