Page 4 - GLNG Week 29 2021

GLNG COMMENTARY GLNG

US continues advance into

Balkans gas market

There are still those in Washington working to ensure a bigger role

for US LNG in Europe

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

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