Gasum stop plans for LNG terminal and Balticconnector pipeline

Gasum will not proceed with the construction of a regional LNG terminal in Southern Finland and the Balticconnector offshore pipeline. Gasum announced this following a thorough study into the economic feasibility of the project, finding that it would not be commercially viable.

Gasum said that this lack of commercial viability is due to a change in the Finnish gas market since 2008, when plans for the projects were first conceived. Further LNG infrastructure in that area would simply lead to the deterioration of LNG prices.

However, Gasum has announced that it intends to remain active in the Nordic gas market. In Finland, there is still a demand for LNG, especially outside of the gas network. Skangas, a Gasum subsidiary, for instance, is in the process of constructing an LNG terminal in Pori, Finland, and co-owns the LNG terminal currently being built in Tornio, Finland. Both of these projects will serve the growing demand for LNG outside of the gas network.

Johanna Lamminen, the CEO of Gasum, said: “Gasum is investing constantly in the development of the Finnish gas infrastructure. Our key objectives are to ensure our customers’ access to clean and competitive fuels and at the same time develop the Finnish biogas market and Nordic LNG market.”

Edited from various sources by David Rowlands

Read the article online at: https://www.lngindustry.com/regasification/05102015/gasum-stop-plans-for-lng-terminal-and-balticconnector-pipeline-1402/