VTTI to acquire Ancala's stake in Dragon LNG terminal in UK
Global energy storage solutions provider VTTI on May 8 announced an agreement with infrastructure manager Ancala Partners to purchase its 50% stake in the Dragon LNG import terminal in the UK. VTTI did not disclose the value of the deal.
Situated at Milford Haven, Wales, the Dragon LNG regasification terminal stands as one of three such facilities in the UK. It is equally owned by Shell and investment firm Ancala Partners. The facility can achieve maximum gas send out to the UK national transmission system of up to 9bn m3.
‘’As part of VTTI’s Strategy 2028, we are committed to expanding and enhancing LNG regasification infrastructure globally. Our aim is that half of our portfolio will be in transitional and sustainable energy sources by 2028,” said VTTI CEO Guy Moeyens.
“Following the recent agreement in Italy to acquire a 70% equity stake in Adriatic LNG in Italy and the ongoing development of a new LNG import facility in Vlissingen in the Netherlands, this acquisition reflects our commitment to diversify into LNG as a transitional energy source,” Moeyens added.
The transaction is subject to customary conditions and is expected to close in Q3 2024.
Dragon LNG last week announced the awarding of a contract to Australian engineers Worley to conduct a feasibility study focused on integrating LNG regasification and CO2 liquefaction processes at its facilities.