Page 6 - FSUOGM Week 29 2021

FSUOGM COMMENTARY FSUOGM

US continues advance into

Balkans gas market

There are still those in Washington working to ensure a bigger role for US LNG in Europe

BALKANS THE US is continuing its advance in the Balkans Countries in the Balkan region have looked
energy market, helping to broker a preliminary towards LNG imports as a solution for diversi-
WHAT: deal last week that could see US LNG supplies fying their energy mixes away from dirty coal
The US government has one day arrive in Albania. and potentially unreliable hydroelectric power,
helped broker a deal on In a ceremony attended by US officials on July or reducing their dependence on pipeline gas
building a pipeline in 15, US LNG vessel specialist Excelerate Energy imports from Russia. New regasification projects
Albania that could handle and Italian infrastructure operator Snam signed have cropped up in Greece and Croatia, as well as
US LNG imports. a memorandum of understanding (MoU) with plans for cross-border pipelines to share supplies
Albania’s state-owned Albgas on developing a of the super-cooled gas across the region.
WHY: pipeline that would connect a liquefaction ter- Albania relies on hydroelectric dams to pro-
Albania is looking minal in the Albanian port of Vlora with “other duce almost all its electricity, and this leaves it
towards gas as a means natural gas infrastructure opportunities in Alba- dependent on expensive imports during times of
of overcoming its near- nia.” Excelerate and ExxonMobil signed another drought, creating a significant hit to its economy.
total dependence on MoU with Albanian authorities in March on Vlora is a fitting location for a regasification ter-
hydroelectricity. developing this terminal. minal, given the presence of industry in the area
Under the latest deal, the parties will also look and a 100-MW thermal power plant (TPP) that
WHAT NEXT: at developing underground gas storage facilities generate power from both oil and gas. The sta-
The Biden administration in Albania. tion was completed in 2009 but remains offline
so far shows less “Leveraging our downstream capabilities and because of technical faults.
support for the US LNG working alongside Albania to explore expanding Albania also serves as a transit country of the
industry than the Trump their access to reliable energy, we are able to take Trans-Adriatic Pipeline (TAP), which pumps gas
leadership. an integral step towards energy security for the from Azerbaijan into Southeast Europe. Yet the
country,” Excelerate CEO Steven Kobos com- country, though an oil producer, extracts mini-
mented. “Together with Snam and Albgaz, we mal amounts of gas itself and therefore has never
recognise the potential impact this pipeline can invested in a proper transmission network. The
have for the region.” Albanian government agreed terms with TAP’s

P6 www. NEWSBASE .com Week 29 21•July•2021