A recent market screening conducted by Swedish energy firm Swedegas has revealed significant interest in liquefied natural gas (LNG) throughout Sweden’s shipping industry. Enough interest has been developed in fact, to provide a compelling argument toward the establishment of an LNG terminal at the Port of Gothenburg, the largest shipping port in the Nordic region.
The study reflects feedback from about 20 major shipping, industrial and gas trading companies which found that the implementation of the stricter IMO emissions regulations coupled with a general movement away from oil are amongst the top factors contributing to the LNG movement.
“The response was highly encouraging. The replies clearly show that LNG is a fuel of the future and that companies are prepared to invest in line with the introduction of LNG onto the Swedish market,” says Lars Gustafsson, President of Swedegas.
First open access terminal
Swedegas and the Dutch company Vopak are planning a major investment in an LNG terminal at the largest port in the Nordic region. The Port of Gothenburg is supporting the project and investing in the port area. By offering open access to the terminal for any company seeking to import LNG into Sweden, the market will for the very first time be completely free to choose LNG supplier.
“There is potential in Swedish industry to replace over 10 TWh of oil with natural gas. With an LNG terminal in Gothenburg, we could satisfy around half of the entire needs of industry. There are substantial environmental benefits in the form of almost complete elimination of sulphur emissions from shipping and a 25 per cent reduction in carbon dioxide emissions by industry, says Lars Gustafsson.
Gothenburg – a natural hub
A new report from the engineering consulting company Ramböll also confirms that the largest port in the Nordic region, Gothenburg, would be a natural hub in a national infrastructure solution that could also include other ports. Apart from bunkering ships, LNG can be transported easily from Gothenburg by rail and road to destinations throughout the country. LNG can also be transmitted from the terminal into the gas grid.