TotalEnergies in talks to provide LNG imports to Germany
The French oil company aims to provide one of its two floating storage and regasification units to compensate for Russian imports.
TotalEnergies SE has confirmed the negotiations with German authorities to help the country import more liquefied natural gas (LNG) to compensate for the energy import bans. The oil major aims to provide a floating storage and regasification unit to Deutsche ReGas to help in the development of an import terminal located at the port of Lubmin.
In a recent report by Bloomberg it was stated that at the same location is where the Nord Stream gas pipelines from Russia make landfall, a convenient position for the vessels to carry supplies into Germany’s onshore network. The news site also stated that official authorities are working to approve the start of operations to comply with its objective of bringing four shipments of the fuel starting this winter.
“TotalEnergies supports Germany in terms of European cooperation on its way to independence of Russian natural gas by supplying it to Deutsche ReGas,” said the German firm according to an article by the news agency.
According to Deutsche Bank AG, Russian gas currently makes up nearly 25% of Germany’s total gas imports, a major step up from its May report, when it was registered at 45%. National authorities seek to deploy four FSRUs to further reduce this percentage, each vessel contains more than 5% of the country’s annual consumption, which translates roughly to 5 billion cubic metres a year.
Deutsche ReGas stated that the first ship is set to be installed at the German Baltic Sea terminal and start operations on December 1st. It will transport a total of 4.5 billion cubic metres of LNG a year, according to the firm’s statement.
As for TotalEnergies, the company is also amping up France’s gas network with its own floating LNG terminals, with the first one set to be installed in Le Havre. After getting approvals from official authorities, its connection to the nation’s network is scheduled to begin in September of next year.
