Page 4 - EurOil Week 11 2021

EurOil COMMENTARY EurOil

ExxonMobil eyes LNG

supply to Albania

The US major is assessing options for bringing LNG to the Southeast European country,
which relies heavily on an aged fleet of hydropower plants for its electricity

ALBANIA EXXONMOBIL and US floating LNG operator in Albania. Small-scale LNG supply is often con-
Excelerate Energy have agreed with Albania’s sidered a favourable option to increase gas access
WHAT: government to assess the development of an in countries or regions that lack a developed
ExxonMobil and LNG import terminal in the Southeast European pipeline network.
Excelerate Energy country. Results from the study are expected to be
have agreed to study Albania relies heavily on an aged fleet of delivered in the third quarter of 2021, while the
the development of an hydropower plants (HPPs) for its energy, forc- LNG import terminal itself is anticipated up and
LNG import terminal in ing the country to import expensive electricity running as early as 2023.
Albania. from its neighbours during periods of drought.
In contrast, gas plays only a limit role in Albania’s Not the first time
WHY: energy mix, despite the fact it hosts part of the “Supply diversification and the enhancement of
LNG could be supplied Trans-Adriatic Pipeline (TAP) that carries gas supply security are crucial to Albania and to our
to a currently shuttered from Azerbaijan to Europe. Balkan neighbours as well,” Albanian Energy
power plant and The proposed terminal would be built at the Minister Belinda Balluku commented on the
delivered on a small- southern Albanian port of Vlora, which already memorandum. “We are confident that LNG can
scale basis across the hosts a 100-MW thermal power plant (TPP) that be the key to achieving these strategic objectives
country. can run on gas in addition to oil. The Vlora TPP and to finally provide a solution to the complex
was commissioned in 2009 but remains offline Vlora TPP project by choosing the best partners,
WHAT NEXT: because of a cooling system failure. equipped to deliver a project of such magnitude.”
The project will likely Under a memorandum with the govern- This is not the first time LNG imports have
be lacking the kind of ment, ExxonMobil and Excelerate will assess the been discussed in Albania. In the early 2000s,
political support it might project’s commercial, technical and regulatory Italian construction firm Gruppo Falcione had
have enjoyed during the aspects. They will also look at recommissioning proposed developing a floating storage and
Trump administration. and potentially expanding the Vlora TPP, and regasification project near the town of Levan at a
evaluate prospects for a small-scale LNG market cost of $1.1bn. The scheme would have imported

P4 www. NEWSBASE .com Week 11 18•March•2021