Page 7 - EurOil Week 27 2022

EurOil PIPELINES & TRANSPORT EurOil

Canada talks LNG options with Germany

GERMANY GERMANY is holding talks with Canada in an told the Global and Mail, as he announced a new
attempt of secure options for exporting LNG to feasibility study for exporting LNG to Germany.
Berlin is looking to Europe from Canada’s East Coast. “The world has changed a lot.”
LNG to replace gas German Chancellor Olaf Scholz raised the As well as Goldboro, Canada and Germany
shipments from Russia. matter with Canadian Prime Minister Justin have been discussing Repsol’s proposed Saint
Trudeau on the sidelines of G7 summit in Ger- John LNG terminal in New Brunswick.
many this week, Reuters reported. Goldboro has originally proposed a 10mn
Berlin is looking to LNG to replace gas ship- tonnes per year land-based export terminal,
ments from Russia, as the government seeks to although a floating 2.5mn tpy floating terminal
phase out energy imports after Moscow’s inva- could also be a possibility.
sion of Ukraine. Sorensen said the chances have improved
It has backed the construction of two LNG for Goldboro LNG, given Germany’s increased
terminals and has rented four floating storage demand for energy to replace Russian supplies.
and regasification units (FSRUs) as a stop-gap Pieridae has already signed a 20-year deal to sup-
measure. ply German utility Uniper with LNG.
In May, Canadian Natural Resources Minis- However, exports will have to wait, as Pieri-
ter Jonathan Wilkinson said the Canadian gov- dae hopes to take a final investment decision
ernment was in discussions with the companies (FID) as early as mid-2023, Sorensen said. The
behind two proposed East Coast LNG export goal is to begin exports to Germany by 2028
facilities to see how it could speed up the projects under the scenario of a full-scale export termi-
and help boost supply to Europe. nal in Nova Scotia.
Meanwhile, Canada’s Pieridae Energy is Also, pipeline infrastructure would need to
considering a revival of its plan to build a termi- be developed to improve links from gas fields in
nal in Nova Scotia to export LNG to Germany, Alberta to the Maritime coast.
although it warned that Canadian regulatory Goldboro LNG and Saint John LNG would
hurdles could delay any LNG proposals on the need to negotiate to have grid operator TC
East Coast. Energy and other pipeline companies transport
High costs, and supply-chain problems natural gas from Alberta.
caused by the coronavirus (COVID-19) pan- Canada, the world’s sixth-largest natural gas
demic had previously forced the suspension of producer, does not have any East Coast LNG
its plans for the Goldboro LNG project. facilities and only one under construction on its
But since the invasion of Ukraine four West Coast.
months ago, Europe is scrambling to reduce its Germany’s need is great as it imports around
dependence on natural gas from Russia. 55% of the 100bn cubic metres of gas is it con-
“You can see what’s happening in Europe,” sumes per year from Russia, with smaller vol-
Pieridae chief executive officer Alfred Sorensen umes arriving from Netherlands and Norway. ™

Week 27 08•July•2022 www. NEWSBASE .com P7