Inkoo to host Finland's first LNG terminal
Finland has struck an agreement to anchor a floating LNG terminal in Fortum's Inkoo port, in a boost in the race to replace Russian gas, Fortum said June 9.
The terminal could be ready from as soon as next winter, under a 10-year lease agreement signed by Finnish gas grid operator Gasgrid and Fortum with Excelerate Energy.
Russia switched off Finland's gas supplies earlier this month. Gasum has refused to acquiesce to the Kremlin's ruble-only payment demand, and says it has sufficient gas supplies to avoid disruptions in coming months. Still, Russian imports had met around 70% of its requirements.
Finland has three existing LNG terminals in Pori (28,500 m3), Tornio (50,000 m3) and Rauma (10,000 m3). The new terminal is situated close to the Balticonnector, which links Finland to Estonia, raising the prospect of improved regional gas flows.
Sending gas through the Balticonnector could provide synergies with Estonia's own LNG terminal project, which reportedly kicked off development last week. The agreement also catalyses an earlier agreement for Finland and Estonia to pursue a joint LNG import facility.
Having now locked in an agreement on the terminal's location, Finnish minister for economic affairs Mika Lintila said it was imperative to deliver on schedule. Lintila said: "It is important for our economy that the floating LNG terminal ensures the gas supply of our industry. The next step is to stay on schedule and get the port ready."