A new liquefied natural gas (LNG)/Bio-LNG Terminal is set to be built in the Port of Oxelosund, Sweden, following a deal signed between small-scale LNG provider Avenir LNG and port operator Oxelösunds Hamn AB.
Announced on 11th August, the deal – affirmed under a Memorandum of Understanding – will see Avenir purchasing Oxgas AB, the project company for the Terminal which is currently owned by Oxelösunds Hamn AB.
Strategically located near key industrial natural gas consumers, the terminal will feature a single full-containment atmospheric tank, natural gas delivery via regasification to a local pipeline network and LNG via two truck loading bays for distribution beyond the port.
The terminal will be supplied by Avenir’s fleet of LNG carriers, with some of its key bunkering customers able to be serviced directly from the terminal.
Stating that the project offers a ‘key strategic growth opportunity for Avenir’, Peter Mackey, CEO, Avenir LNG, added, “The challenges facing the European Gas markets have re-enforced Avenir’s commitment to investing in critical infrastructure and supply chains which enhance energy security in regions of stranded demand and further enable the switching to cleaner, greener, and more sustainable forms of energy.”
To assist the transition from LNG/Bio-LNG, the partners will also explore the potential development of a future energy hub, in addition to implementing CO2 reduction schemes to create a fully renewable Net Zero energy facility.
“Teaming up with Avenir LNG will allow us to proceed into the next phase with our Oxgas project and we are convinced Avenir is the right partner to work with,” commented Douglas Heilborn, CEO of Oxelösunds Hamn AB.
Having secured all necessary building permits, Avenir aims to begin construction of the terminal at a shorter lead time.
