• Natural Gas News

    Enagas, Peninsula to build LNG bunkering vessel


The deal will see the two parties own and operate a bunkering vessel in Spanish ports, with some EU funding.

by: William Powell

Posted in:

Natural Gas & LNG News, Europe, Premium, Gas for Transport, News By Country, Spain

Enagas, Peninsula to build LNG bunkering vessel

Spanish transmission system operator Enagas and marine fuel supplier Peninsula have agreed to build and jointly own a 12,500m³ LNG supply vessel, they said June 4. Part-funded by the EU as part of the LNGHive 2 strategy, it will operate in the Strait of Gibraltar and be based in Algeciras Port.

The vessel will be chartered exclusively by Peninsula through an initial seven-year contract with Enagas subsidiary Scale Gas, and will use Enagas' regasification plants, predominantly in Huelva, as LNG loading points. The vessel is expected to be delivered in June 2023 by South Korean shipyard Hyundai Mipo.

The initiative is part of the European Union's transport aid program, Connecting Europe Facility, which has contributed €11mn ($13mn) towards the vessel development. The EU directive 94/2014 alternative fuels aims to improve quality the air of the sea and ports.

Enagas CEO Marcelino Oreja said the agreement is in line with the company's "commitment to promote the development of a value chain that allows more efficient and sustainable maritime transport, and reinforces the commitment of the company to achieve carbon neutrality by 2040.”

Peninsula owner and CEO John Bassadone said the project was "one of many initiatives around Peninsula's strategic pillars: customer centricity, sustainability and technology,”and that he hoped many more vessels would follow. 

Scale Gas CEO Oscar Macineiras said the agreement was the culmination of a "three-year project that consolidates Scale Gas as a relevant player in investment in LNG bunkering infrastructures, one of its major strategic lines."