(Reuters) — Germany's Deutsche Energy Terminal said on Friday it has successfully sold all liquefied natural gas regasification slots offered at the liquefied gas terminals of Brunsbuettel and Wilhelmshaven for this year
The strong demand for the slots shows how countries affected by the ending of pipeline gas supply from Russia to Central Europe in January are looking for more LNG deliveries and alternative supply routes
"Slots were marketed both with and without obligation to deliver for the traders
All 50 slots offered were sold," DET said in a statement
The bookings show growing interest by traders in using German LNG terminals
with Germany becoming a transit hub for onward supplies to Eastern Europe after scrapping of a fee for transporting gas across borders
The average price achieved in the December auction was 0.11 euros per million British thermal units (MMBtu)
while the February auction average price was 0.30 euros per MMBtu
"We are looking ahead as the currently declining storage levels must be replenished in good time during the year," Peter Roettgen
DET is a state-owned German company responsible for operating terminals where LNG is imported via ship
Wilhelmshaven on Germany's north coast and Brunsbuettel on the Elbe River in northern Germany are floating storage and regasification units that were installed to counter the loss of Russian pipeline supply to Germany in 2022
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(Reuters) — Germany's Deutsche Energy Terminal (DET) has announced short-term auctions for regasification capacity of liquefied natural gas (LNG) at its Wilhelmshaven and Brunsbuettel LNG terminals on Feb
Pipeline gas supply from Russia to central Europe ended on Jan
1 so some affected countries are relying on alternative supply routes and more LNG deliveries in the region arriving on ships
Traders and utility companies pay close attention to the announcements to be able to secure volumes for their customers in winter
when demand runs high and stocks are being drawn down
the note said the auctions for obligation to deliver (OTD) slots
describing a legal term by which the seller must hand over the gas
Auctions for no obligation to deliver (NOTD)
another term that excludes fulfilment under certain circumstances
The slots include services around the conversion of super-cooled liquid from the ships to gas
storage of their regasified volumes and their subsequent feed-in to onshore gas grids
DET is a wholly owned subsidiary of the German government, and both terminals are floating storage and regasification units (FSRU) that were installed to counter the loss of Russian pipeline supply to Germany in 2022
There has been a rise in flows of LNG via Germany since the start of the year
also helped by the scrapping of a German fee at cross-border points
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Efforts to expand a sustainable and renewable energy supply system are in full swing as RWE joins forces with partners from the fields of policy
There is an increasing focus on battery storage systems
hydrogen projects and gas power to cover the transition
In the industrial port city of Brunsbüttel
two projects with a national ambit are now running in parallel: With input from RWE and other partners
Brunsbüttel is becoming a leading German port for the importation of liquefied natural gas (LNG)
the system must also be made ready for the prospect of conversion from LNG to hydrogen
an ammonia terminal is taking shape at the same location
With its direct access to the North Sea and the Baltic
and its connection to Europe’s inland waterways
Brunsbüttel meets the ideal logistical criteria
Brunsbüttel Ports GmbH is offering support for this construction project by making space available
in addition to acting as a logistical partner with port infrastructure for discharging tankers
A terminal for green energy imports: Soon an annual total of some 300,000 tonnes of green ammonia is expected to arrive in Germany for distribution to customers
The terminal is thus at one end of a green import infrastructure
with climate-friendly production processes at the other
RWE aims to incorporate the entire value chain into this flagship project
transportation and then utilisation by industrial customers
the plan is to set up a large industrial-scale cracking unit at the terminal
to convert the ammonia back into green hydrogen on-site
The hydrogen will then be transported to industrial customers via a dedicated H2 pipeline
This expansion stage is expected to coincide with an increase in the ammonia volume to two million tonnes per year
RWE assumes the investment volume will run to several hundred million euros
Ammonia is the second most commonly produced raw material in the chemical industry
More than 125 million tonnes are used each year for purposes such as fertiliser manufacture and utilisation in chemical processes
Compared to the universal molecular use of hydrogen
ammonia offers clear advantages: It is not only easier
more efficient and cheaper to store and transport
but it can also be converted back into hydrogen via a cracking process
That makes ammonia an ideal carrier for importing hydrogen from countries where green electricity can be produced cheaply and in large volumes
To ensure the use of ammonia as a hydrogen derivate is climate-neutral
the generation plants must run on electricity from renewables
as the most competitive and most technologically mature hydrogen derivate
Demand for green molecules will grow dramatically in the future in order to achieve climate targets
This is where the green ammonia terminal will provide a vital point of contact in facilitating access to green molecules from other parts of the world in addition to in-house hydrogen generation
plays a key role in the transition from a fossil-based to a climate-neutral energy supply system
Establishing Germany’s first terminal for the import of LNG at Brunsbüttel will provide an important example of the form this transition could take
With an annual capacity of eight billion cubic metres
the terminal will make a crucial contribution towards security of supply
while making Germany less dependent on energy imports from Russia
This project is a joint venture between the Kreditanstalt für Wiederaufbau (KfW)
The prospect of conversion and compatibility for using the terminal for ammonia must be taken into account right at the construction stage
this underlines its intention to focus in particular on the green conversion of the LNG terminal
The adjacent ammonia import terminal will thus provide important empirical reference values for the subsequent conversion from LNG to hydrogen
BRUNSBUETTEL, Germany, Jan 20 (Reuters) – A floating terminal to import liquefied natural gas (LNG) arrived in the German port of Brunsbuettel on Friday, the third such vessel to start up in recent weeks as Europe’s top economy is rushing to diversify away from former top supplier Russia
The Hoegh Gannet vessel arrived at the Brunsbuettel Elbehafen port near Hamburg
allowing LNG carriers to land and their cargoes to be regasified in order to feed them into the German gas grid
Read Also: Germany Charters FSRUs To Boost LNG Imports To Replace Russian Gas
“Floating LNG terminals enable the import of gas and thus strengthen Germany’s security of supply,” said Markus Krebber
“The strong energy dependence of our country on Russian pipeline gas will end with the deployment of the special vessels.”
The first LNG cargo to be unloaded at the so-called floating storage and regasification unit – coming from Abu Dhabi National Oil ADNOC.UL – is scheduled to arrive at the end of January
(Reporting by Fabian Bimmer; Writing by Christoph Steitz; editing by Matthias Williams)
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2022 at 1:26 PM EDTBookmarkSaveLock This article is for subscribers only.The developers of a planned German liquefied natural gas terminal are pushing to fast-track the project as part of efforts to cut dependence on Russian supplies
1 handed over floating liquefied natural gas (LNG) infrastructure at Brunsbuettel on the North Sea to state-owned Deutsche Energy Terminal (DET) as agreed when first imports arrived 10 months ago
DET is now the sole operational manager and markets the capacity of the Brunsbuettel Elbehafen LNG project
Germany's quest to increase LNG capacity for regasification on its shores has intensified as it seeks to end reliance on Russian pipeline gas
on which Europe depended heavily prior to Moscow's invasion of Ukraine last year
Germany is using floating storage and regasification terminals (FSRUs) to help to replace piped Russian gas supplies
Three FSRUs are working at the Wilhelmshaven
Brunsbuettel and Lubmin ports after Germany arranged their charter and onshore connections
a port on the Baltic Sea island of Ruegen due to be connected with Lubmin on the mainland
are due to add more FSRUs in the winter of 2023/24
Industry and the government are also building up terminal capacity in anticipation of increased use of hydrogen at the sites
which when produced using renewable energy can help the transition to a lower carbon economy
State-owned DET held auctions for regas capacities in 2024 at Brunsbuettel and Wilhelmshaven 1 in November and Stade and Wilhelmshaven 2 rounds in December
MukranPrivate company Deutsche ReGas reported in August that suppliers had booked 4 billion cubic metres (bcm) per annum of capacity for 10 years at Mukran
where the company wants to pull together two FSRUs for deliveries to the mainland
to complement the Neptune currently active at Lubmin
LNG from Mukran is targeted to flow to onshore grids via gas grid company Gascade's new pipeline from the first quarter of 2024
which obtained approval for completion from mining authorities in November
The project has triggered local opposition
Two legal challenges by environmental groups DUH and Nabu were thrown out by the federal administrative court in September
WilhelmshavenUtility Uniper UN01.DE launched Germany's first FSRU operations
in December 2022 at the deep-water port on the North Sea
LNG/TKUKTree Energy Solutions (TES) plans to operate a second FSRU
Uniper plans to add a land-based ammonia reception terminal and cracker in the second half of this decade
Ammonia is at times used as a carrier for hydrogen
whose low density otherwise makes transportation over long distances complicated
TES also has plans to eventually convert its operations to clean gases
began receiving LNG at Lubmin on the Baltic Sea early in 2023
The gas is first delivered to another storage vessel
and shuttled to Lubmin in a set-up taking account of shallow water
ReGas holds long-term supply deals with France's TotalEnergies and trading group MET
The government wants the Neptune to move to Mukran on Ruegen island
Regas plans hydrogen electrolysis plants at both Lubmin and Mukran
BrunsbuettelThe Brunsbuettel FSRU went into operation in April
initially chartered and operated by RWE's trading arm before the handover to DET at the start of 2024
It is the forerunner of a land-based LNG facility
which has been cleared to receive 40 million euros ($44 million) of state support
that could start operations at the end of 2026
when an adjacent ammonia terminal could also start up
Gasunie and RWE are stakeholders and Shell has committed to sizeable purchases
The total costs of the land-based terminal are 1.3 billion euros
StadeThe inland port on the river Elbe a year ago started work on a landing pier for an FSRU
moored at Bremerhaven port to be fixed up for the purpose
Project firm Hanseatic Energy Hub (HEH) also plans a land-based terminal where it has allocated regasification capacity to become operational in 2027
The allocations include volumes for state-controlled SEFE
It has begun sounding out the market to determine whether the longer-term plans should be based largely on ammonia to be reconverted into clean hydrogen
It has identified a construction consortium
HEH is backed by investment firm Partners Group
chemicals company Dow and Spanish grid operator Enagas
(Reuters - Reporting by Vera Eckert; Editing by David Evans
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RWE will hand over the LNG infrastructure built in Brunsbüttel to the federally owned Deutsche Energy Terminal GmbH (DET) as planned
around ten months after the first LNG import flow
Liquefied gas delivered by LNG tankers is fed into the German gas grid after being regasified via a Floating Storage and Regasification Unit (FSRU)
DET is the authorised operator of the FSRU terminal in Brunsbüttel and is also responsible for its capacity marketing
RWE chartered the Hoegh Gannet floating LNG terminal on behalf of the German government after the start of the Russian war of aggression in February 2022 and built the corresponding infrastructure in Brunsbüttel to strengthen Germany's security of supply and reduce its dependence on Russian pipeline gas
The Elbehafen project was realised in record time and put into operation by RWE during 2023
liquefied natural gas (LNG) has been imported directly to Germany via Brunsbüttel
DET has now taken over the LNG infrastructure and sole operational management in Brunsbüttel
(Reuters) — A new LNG terminal at Mukran on Ruegen Island in the German Baltic Sea should be operational from the first quarter of 2024, Gascade, the pipeline firm building its onshore connection
Operator Deutsche ReGas last month reported that suppliers have booked 4 billion cubic meters (Bcm) of capacity for 10 years per annum at Mukran
where the company wants to pull together two floating storage and reception units (FSRUs) for deliveries to the mainland
Germany's quest to increase LNG import capacity has intensified as it seeks to end reliance on Russian pipeline gas after Russia invaded Ukraine last year
it is using FSRUs to help replace piped Russian gas supplies
Mukran and Stade are due to add more ships for the 2023/24 winter
Industry and the government are also building up terminal capacity in anticipation of increased use of hydrogen
Deutsche ReGas has sub-chartered a second FSRU from Transgas Power
LNG from Mukran is meant to flow to onshore grids via a new pipeline built by Gascade from next winter
But two legal challenges by environmental groups DUH and Nabu were thrown out by the federal administrative court last and this week respectively
Utility Uniper launched Germany's first FSRU operations last December at the deep-water port on the North Sea
It plans to add a land-based an ammonia reception terminal and cracker in the second half of this decade
Tree Energy Solutions (TES) will operate a second FSRU from later in 2023 for five years and plans to eventually convert the operations to clean gases
began receiving LNG at Lubmin early this year
ReGas holds long-term supply deals with France's TotalEnergies and trading group MET
The government wants the Neptune to move to Mukran
The EU Commission approved a 40-million-euro ($42.81 million) support measure for the land-based LNG terminal at Brunsbuettel on the North Sea
citing its contribution to the security and diversification of supply
now in receipt of a parcel of approved state support
Gasunie and RWE are stakeholders and Shell has committed itself to sizeable purchases
The inland port on the river Elbe in January started work on a landing pier for an FSRU
Designated vessel Transgas Force is moored at Bremerhaven port to be fixed up for the purpose
Project firm Hanseatic Energy Hub (HEH) also plans a land-based terminal where it has allocated regasification capacity that could be operational in 2027
including volumes for state-controlled Sefe and utility EnBW
HEH is backed by gas network company Fluxys
logistics group Buss and chemicals company Dow
which is also a buyer at Wilhelmshaven and Brunsbuettel
said it would double annual purchases to 6 Bcm
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Construction work in Brunsbuettel port in Germany.
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2022 at 5:33 AM EDTBookmarkSaveLock This article is for subscribers only.The German government struck a deal with energy companies to import liquefied natural gas through two new terminals in an effort to alleviate a supply crunch that’s crippling the economy
JV behind the LNG terminal project in Brunsbuettel
and construction (EPC) prequalification process this month
The company said that potential EPC contractors interested to participate in the project would receive a prequalification package
Binding offers will have to be prepared and submitted by pre-qualified bidders between August and October 2019
The winning bidders will be announced during the first quarter of 2020
followed by the release of a notice to proceed to begin scheduled early activities
a joint venture of Dutch companies Vopak and Gasunie as well as German company Oiltanking
and independently operate a combined import and distribution LNG terminal in Brunsbuettel Germany
The business model of the terminal is characterized by the provision of multi-purpose services as well as open access to terminal capacity
The terminal in Brunsbuettel will be located near the North Sea along the Elbe river
and close to the Kiel Canal and will have easy access to markets in northwest Europe
which has LNG bunker potential and the ChemCoast Park that includes industrial customers with high energy needs
It is worth noting that the German federal government supports the construction of such a terminal as it contributes to gas supply diversification and provides efficient supply chains for LNG as an alternative fuel
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the floating liquefied natural gas terminal “Hoegh Gannet” arrived at Brunsbüttel’s Elbehafen port near Hamburg
liquid gas from LNG carriers can be regasified and then fed into the German gas network via this Floating Storage and Regasification Unit (FSRU)
The entire project was implemented in record time
RWE has forged ahead on behalf of the German government to implement the project together with its partners Höegh LNG
the planning and approval phases were already at a stage at which construction works could be started
In addition to the participating companies
RWE CEO Markus Krebber: “Floating LNG terminals enable the import of gas and thus strengthen Germany’s security of supply
The strong energy dependence of our country on Russian pipeline gas will end with the deployment of the special vessels
The high speed at which the project in Brunsbüttel was jointly driven forward by all involved parties sets standards for the further modernisation of our energy supply
This will also be necessary to ensure that Germany as an industrial location becomes climate-neutral as soon as possible.”
Höegh LNG President & CEO Erik Nyheim: “Höegh LNG is honored to be a partner to the Brunsbüttel LNG import terminal project
a project which aligns with our belief that floating LNG infrastructure is the key to solving the current energy crisis
we are dedicated to collaborating with RWE and the other partners to successfully commission and operate the floating storage and regasification unit Hoegh Gannet.”
Marine Service GmbH Chairman Christian Krämer: “We as a consultancy company specialised in LNG are pleased that we were able to contribute to the opening of the floating LNG terminal in the Elbehafen in Brunsbüttel in such a short time
This makes a significant contribution to securing Germany’s energy supply and making it more independent for the future.”
Reganosa CEO Emilio Bruquetas: “We are very proud to be able to contribute our knowledge and experience to this project
which requires us to be both agile and reliable
We are pleased to collaborate with RWE and the other partners in this challenge of increasing Germany’s energy autonomy
We are used to working in collaborative ecosystems; cooperation is key to providing Europe with security of supply
especially in the current turbulent scenario.”
Brunsbüttel Ports GmbH Managing Director Frank Schnabel: “Ten years of preparatory work now culminate in the implementation of this project
As the owner and operator of Brunsbüttel’s Elbehafen
we are delighted to welcome the FSRU in our port today
the port and industrial site of Brunsbüttel is not only a universal freight hub
but also an important energy hub for the entire Federal Republic
With the establishment of a versatile and independent energy import infrastructure for LNG and green energy sources this
Brunsbüttel now has a key role to play in Germany’s future security of supply.”
a several-week phase of commissioning and trial operations will now begin
during which the vessel will leave its pier again temporarily
The trial operations will include connection to the newly built gas pipeline so that first gas volumes can be fed into the German gas network from the beginning of February
The gas volume will increase continuously as further technical components from the new technical infrastructure and warm water supply installed in the past few months are added
The special vessel will initially operate at an existing berth in the Elbehafen of Brunsbüttel Ports GmbH
the FSRU will be moved to a new jetty to the west of the Elbehafen
This new jetty will be built and operated by Brunsbüttel Ports
International specialist company Reganosa will take over the operation and maintenance of the new land-based infrastructure
Owner Höegh LNG will operate the vessel
Marine Service GmbH supports the project with technical know-how as a development partner for the terminal design
The heat required for the regasification process on the FSRU will be provided by Covestro Industriepark Brunsbüttel in the form of warm process water
For this purpose Covestro very quickly laid a new warm water pipeline to the Brunsbüttel Elbehafen port
RWE is responsible for filling the FSRU with liquefied natural gas
the first LNG cargo will arrive at Brunsbüttel at the end of January 2023 and be unloaded into the FRSU
The cargo from ADNOC (Abu Dhabi National Oil Company) will be shipped from the island of Das
also for future imports of green molecules
RWE wants to build an import terminal for green ammonia
which – as a liquefied hydrogen derivative – can make an important contribution towards supplying Germany with green hydrogen
around 300,000 tonnes of green ammonia is to be imported and distributed to customers annually via the terminal
German LNG Terminal GmbH plans to build and operate a multi-functional LNG terminal very close by.
RWE supports a subsequent conversion of the terminal to the import of green molecules
A worker stands next to stored pipelines for an upcoming pipeline near Brunsbuettel
The new terminal is one of several under construction along the North Sea and Baltic Sea coasts so that Germany can import liquified natural gas by ship
The shift away from a carbon-based economy risks stranding a large number of assets
particularly in sectors with high financial market exposure
The nonprofit financial think tank, the Carbon Tracker Initiative is tracking the assets most likely to be impacted
founder and executive chair of Carbon Tracker
explains that many companies risk having assets stranded both financially and physically because of the pressure that climate change is putting on the market to evolve
CAMPANALE: We know that there are around 300 gigatons or thereabouts of the “carbon budget” left
which is how much carbon dioxide we can put in the atmosphere before we go above 1.5 degrees above pre-industrial levels
we’re basically saying we’re going to keep unabated CO2 emissions below 300 gigatons
But there are currently about 3,600 gigatons of CO2 in the world’s known coal
Glencore and so on have about 1,060 gigatons of CO2 in their reserves
So there’s about 10 times more fossil fuel reserves than we can burn if we stick to no more than 1.5 degrees
So these companies are all trying to compete for the remaining share of the 300 gigatons
But the vast majority of the fossil fuel reserves of these companies — as much as 90% — will likely have to remain in the ground
That’s the core problem of stranded assets
Despite this, investors are raising capital all the time for the oil and gas sector. The biggest IPO in the London market, and one of the top five in Europe, for the whole of 2022
When we did the first report in 2011 on stranded assets
we found that public markets had 700 gigatons
The amount of fossil fuels that have been financed has grown over the decade
Hundreds of billions of dollars are being raised through the banking system
and private markets to fund more fossil fuel expansion
when we can’t burn even what these companies already own
That’s essentially the case for the physical stranding
Stranded Asset Exposure by Financial Center
Stranded asset exposure by financial centre shown as upstream oil & gas capex by financial centre
There’s also the risk of financial stranding
which is that these companies will never generate the financial return that the investors are expecting
because as policy cuts in and technology change cuts in — for example
the switch from the petrol-driven car to the electric car — demand will fall
companies won’t generate the return that they’d expect
say a gas-fired power station or a gas pipeline with a 30-year life
when actually it only turns out to have a 10-year life
its investors will be financially stranded
but it won’t generate the financial return that the investors thought they were going to get when they first financed it
A good example is where regulators or policymakers decide that renewable energy should get onto the grid first
We’ve seen super efficient gas-fired power stations that have been built and been mothballed almost as soon as they’ve been built
because they’re not getting their power onto the grid
renewable energy has been so much cheaper than gas this last year
Renewables are getting onto the grid because they’re just cheaper
BRINK: Presumably oil and gas companies do scenario-planning around this issue
they do but what they’re basically saying is that demand for fossil fuels is a societal need
We want to publish how much carbon dioxide is actually in the reserves that they own. There should be a regulatory requirement for listed companies to disclose how much CO2 is in their reserves and their resources. If you look up FossilFuelRegistry.org
we publish all the world’s reserves that we know about
Put this in the public domain.” They’ve said
“We completely support the goals of transparency
We don’t want to disclose the CO2 in our reserves
we won’t.” That’s almost to the word
One of the senior executives in one of these trade bodies said to me
except not about the stuff that counts.”
Mark is the founder of the Carbon Tracker Initiative
a nonprofit think tank best known for its work on “stranded assets” and the “carbon bubble.” Mark is a member of the advisory board of GFANZ
Carbon Tracker won Environmental Finance’s award for “best NGO of the Year.”
2018 at 10:25 AM EDTUpdated on October 23
2018 at 10:03 AM EDTBookmarkSaveLock This article is for subscribers only.Downstream from Hamburg
two small ports on the Elbe River are competing to build Germany’s first liquefied natural gas import terminal and help shake up Europe’s biggest gas market
The partnership between RWE and the Abu Dhabi National Oil Company (ADNOC) for the supply of Liquefied Natural Gas (LNG) is becoming visible with the arrival of the “Ish” as the first LNG cargo at the Brunsbuettel Elbehafen port
the LNG will be regasified and fed into the German gas grid via the Floating Storage and Regasification Unit (FSRU) “Hoegh Gannet”
which was chartered by RWE on behalf of the German government
137,000 cubic metres of LNG were shipped by ADNOC from Das Island
This corresponds to more than 82 million cubic metres of regasified natural gas and to approximately 900 million kilowatt hours of energy
The LNG is to be fed into the grid from the end of February as part of the commissioning phase of the FSRU
RWE and ADNOC already signed a memorandum of understanding (MoU) last year on several years of LNG supplies to be delivered to Germany from 2023
LNG supplies from ADNOC can be delivered to Germany through either floating or land-based regasification terminals as these become operational
CEO of RWE Supply & Trading says: “After the arrival of the floating terminal in mid-January
the first LNG delivery from Abu Dhabi is the next important step
The development of the LNG supply infrastructure in Germany continues to make rapid progress
RWE provides support wherever we are needed
I am pleased that we have ADNOC as a strong partner at our side and that we are working together to make Germany's energy supply as secure as possible."
Acting CEO of ADNOC Gas says: “The successful delivery of the Middle East’s first LNG cargo to Germany demonstrates how the UAE is continuing to work closely with our strategic partners in responsibly providing secure
The global demand for energy is increasing and as we build on the strong economic
energy security and climate action ties between our two nations
ADNOC Gas stands ready to provide further shipments of this key transition fuel to our partner
2017 at 12:00 AM ESTUpdated on November 27
2017 at 4:42 AM ESTBookmarkSaveLock This article is for subscribers only.The old trading city of Hamburg in northwest Germany will soon become the center for a drive in Europe’s biggest economy to diversify natural gas imports
Three partners are forging plans to build a terminal for liquefied natural gas on the shores of the River Elbe, not far from an old nuclear reactor that’s fallen victim to the nation’s atomic exit
the LNG import facility would be Germany’s first and a tool to supplement pipeline supply from Russia and Norway
the KfW (on behalf of the German Federal Government)
Gasunie (100% owned by the Dutch state)
and RWE signed a Memorandum of Understanding (MoU) on a joint project to build a terminal for the import of liquefied natural gas (LNG) at Brunsbüttel
The KfW will acquire 50% of the shares in the LNG terminal for the Federal Government
Gasunie will operate the facility.
The terminal will have an annual regasification capacity of 8 billion m3 and provide a possibility to import gas directly to the German market from regions which cannot be reached by gas pipelines
the project will improve Germany’s energy security and help north-western Europe to become less dependent on imports of gas through pipelines
The partners in the project are working to realise the venture as quickly as possible whilst complying with all the rules governing authorisations and State aid
the intention will be to refit the terminal so that it can process green hydrogen derivatives like ammonia.
Minister Robert Habeck welcomes the project: “It is absolutely clear that we need to make our energy supply climate-neutral
to rigorously cut our gas consumption
and to press ahead with the expansion of renewables and the production of hydrogen
But we will need gas during the transition
Here, we need to reduce our dependence on imports from Russia as quickly as possible; Russia’s war of aggression against Ukraine is now making this imperative
An LNG terminal in Brunsbüttel will increase the possibilities to import gas to Germany
LNG terminals could be described as an extra by-pass for this
They help us to boost energy security in Germany and Europe. At the same time
our plans are factoring in the switch to green hydrogen and its derivatives from the very outset of the project
This also goes for the construction of hydrogen infrastructure
we are setting the course for climate neutrality and shaping the transition.”
is making an important contribution towards Europe’s gas security by building an LNG terminal in Brunsbüttel. This is a good step towards reducing dependence on imports of gas from Russia"
Click here for the press release of the Federal Ministry for Economic Affairs and Climate Protection
To develop green hydrogen possibilities via the planned LNG terminal in Brunsbüttel: RWE and German LNG Terminal
the joint venture developing Germany’s first LNG terminal
have agreed to jointly explore the opportunities of this climate friendly fuel. Both companies have therefore signed an agreement
manifested in form of a Memorandum of Understanding
to promote the use of hydrogen produced from renewable sources
both companies had already signed a long-term agreement for a considerable part of the planned terminal’s LNG import capacity
Managing Director of German LNG Terminal GmbH
emphasizes: “RWE’s interest in jointly exploring the import of hydrogen in Brunsbüttel proves the strategic importance of the site and the project
Hydrogen produced from renewable energy sources is in line with Germany’s goal to become climate-neutral by 2050.”
Domestic production will not be able to meet the anticipated future demand
posing the need for import of the climate friendly fuel
LNG import terminals like Brunsbüttel can be combined with entry points for (liquid) hydrogen produced in other regions of the world where wind and solar energy are available at larger scale and lower cost than in Germany
Existing gas pipelines connected to the LNG terminal are perfectly fit to distribute hydrogen locally
Global Head of LNG at RWE Supply & Trading GmbH
It can provide Germany with clean and affordable energy today and at the same time contribute to reducing emissions in the maritime and road transport sector as an alternative fuel
At the same time we want to make sure we are prepared for the next technological advancement
In the future hydrogen will play a key role as a climate-neutral fuel in the energy mix
We are prepared for this next step with the new agreement
Therefore we are happy to support German LNG Terminals’s initiative in this field.”
Currently the parties are in the final phase of negotiating fully binding legal contracts for LNG imports
RWE and German LNG expect this process to be finalised by the end of 2020
putting German LNG in a position to reach a positive investment decision shortly thereafter
With gas reservoirs depleting from the U.K
Germany is becoming increasingly reliant on Russia for its energy needs at a time when political tensions are mounting with Vladimir Putin’s government in Moscow
Floating terminal off the North Sea coast of Lower Saxony is meant to help fill the gap in Germany's gas supply caused by lack of deliveries from Russia
In the presence of the Registrar Olaf Scholz was inaugurated today at Wilhelmshaven the first German terminal for the import of liquefied natural gas (LNG)
The Minister of Economy also took part in the ceremony Robert Habeckthat of Finance Christian Lindner and the Prime Minister of Lower Saxony
The floating terminal off the North Sea coast of Lower Saxony is intended to help fill the gap in Germany's gas supply caused by a lack of deliveries from Russia
four more terminals will be built in Brunsbuettel (Schleswig-Holstein)
Stade (Lower Saxony) and Lubmin (Mecklenburg-Western Pomerania)
the four plants together can absorb a third of the volume of natural gas needed to supply Germany
Scholz greenlit construction of the Wilhelmshaven and Brunsbuettel terminals on Feb
three days after the Russian invasion of Ukraine began
In an interview with the "Sueddeutsche Zeitung"
Scholz then stated that next year he will continue the construction of further LNG terminals and hopes for further supply contracts
“The federal government is in constant contact with gas importers and also promotes the conclusion of long-term contracts,” he said
the Gulf region and the Netherlands will also secure Germany's supply in winter 2023/24
The Wilhelmshaven plant is operated by gas importer Uniper
a new 26 km long gas connection pipeline and a new pier were built for the terminal
The technical heart of the structure is the special ship "Hoeegh Esperanza"
which moored at the pier on Thursday loaded with LNG
it will convert the liquefied natural gas supplied by the tankers to a gaseous state and feed it into the German gas grid
This should happen for the first time next week
Europe is scrambling to reduce its dependence on Russia for energy and bracing for potential disruption to critical natural gas supplies as Russia’s war in Ukraine sends prices to new highs
Natural gas prices hit a record on Thursday for a second day in a row as restrictions on oil and gas were increasingly treated as a possibility on the eighth day of the war – whether through Western sanctions or Russian retaliation
That could mean even more pain to people’s wallets: Energy prices have been high for months because of low supplies
driving up the cost of everything from utility bills to groceries as businesses pass along their costs to customers
Traders were “factoring in the rising probability of sanctions on gas for each day the offensive continues,” said Kaushal Ramesh
Natural gas prices settled at US$4.76 per 1,000 cubic feet on Wednesday
The price of gas is 10 times what it was at the start of 2021
But it continues to flow through the major pipelines from Russia to Europe
To prepare for any cut-offs as the war intensifies and to reduce Russian reliance
countries are rounding up new supplies of liquefied natural gas
They’re also speeding up plans for gas import terminals and pipelines that don’t depend on Russia
and talking about allowing coal-fired power plants to keep spewing climate-changing emissions for longer
Yet many of the measures will take months or
in the case of new pipelines and terminals
The long-term answer is rapidly building out renewable sources such as wind and solar
and supply industries like fertiliser producers
which gets almost 40 per cent of its gas from Russia
is in a different situation than the United States
European Union Energy Commissioner Kadri Simson says Europe “has the tools” to handle any Russian retaliation this winter
while conceding a total cut-off “would
Germany is spending €1.5 billion (US$1.66 billion) to buy more LNG
Chancellor Olaf Scholz on Sunday proposed building two LNG import terminals
days after blocking the already-completed Nord Stream 2 gas pipeline from Russia to Europe
European Union countries are working on setting up a strategic gas reserve and establishing storage requirements
Officials are urging countries to sign agreements to share gas in emergencies
The EU’s executive commission is set to unveil steps next week that governments can take
The Paris-based International Energy Agency said on Thursday that Russian gas imports could be cut by one-third this year through steps
including letting existing gas contracts with Russia expire
finding new supplies from partners such as Norway and Azerbaijan
maximising use of remaining nuclear plants
and offering cash support for vulnerable electricity customers
Denmark has given the go-ahead for construction of a pipeline to bring Norwegian gas – another major source for Europe – to Poland
“We are really busy catching up with the lost months,” Søren Juul Larsen
“We have agreed with our contractors that they will deploy more machines and people for the task
so that we can set the pace and be finished as soon as possible.”
Energinet plans for the Baltic Pipe to partially launch October 1 and be fully operational on January 1
with capacity of up to 10 billion cubic metres of gas a year
Weaning Europe completely off Russian gas by next winter’s heating season – if that becomes necessary – would be possible but painful
involving extra costs and possibly forced conservation
according to analysts at the Bruegel research institute in Brussels
Given that record LNG shipments are already coming from places like the US
a total loss of Russian gas would leave Europe 10 per cent to 15 per cent short and facing potentially painful steps to reduce gas use
“If the EU is forced or willing to bear the cost
it should be possible to replace Russian gas already for next winter without economic activity being devastated
people freezing or electricity supply being disrupted,” they said
wide-ranging Western sanctions have spared gas and oil
even as they targeted Russian banks and their ability to interact with Western financial systems
Specific exemptions were included for energy transactions
Officials say they’re trying to avoid hurting their own economies and consumers as they inflict pain in Russia
But sanctions are indirectly hitting oil from Russia
3 oil producer that sells 25 per cent of Europe’s supply
Some oil buyers in recent days have shunned Russian crude
fearing that if sanctions were applied to Russian energy
their purchased oil could be rendered unusable
“Cargoes have already been rejected by European refiners in the market
because people are afraid sanctions might be coming
and so they don’t want to be caught with some cargo they can’t resell,” said Amy Myers Jaffe
research professor and managing director of the Climate Policy Lab at Tufts University
An energy cut-off imposed by Russia was long regarded as unlikely – particularly with gas — because it would cost Russia its biggest customers in Europe and some US$300 million in revenue a day
Russian officials have underlined that they have no intention of cutting off oil and gas
and have stressed their role as reliable suppliers
Yet the conundrum remains: As Western countries cut off Russian banks
Europe continues to support Russia’s government – and military – through energy purchases
The US is “very open” to sanctioning Russia’s energy and gas industry
but is measuring that against potential costs to Americans
White House press secretary Jen Psaki said
but we need to weigh what all of the impacts will be,” she said on Wednesday on MSNBC
“We’re not trying to hurt ourselves
We’re trying to hurt President Putin and the Russian economy.”
While Europe is vulnerable in the short term before it can build out renewables
it’s Russia that would lose long term from an embargo or cut-off
lead to a slump of 2.9 per cent in Russian economic output and a 0.1 per cent gain for Germany
said trade expert Hendrik Mahlkow of the Kiel Institute for the World Economy
Any Russian threat to halt supplies “would not be very credible,” Mahlkow said
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