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MoE – Island of Krk LNG Terminal – Croatia - Project Profile

MoE – Island of Krk LNG Terminal – Croatia - Project Profile

Synopsis

"MoE – Island of Krk LNG Terminal – Croatia - Project Profile" contains information on the scope of the project including project overview and location. The profile also details project ownership and funding, gives a full project description, as well as information on contracts, tendering and key project contacts.

The "MoE – Island of Krk LNG Terminal – Croatia - Project Profile" is part of Timetric's database of 82,000+ construction projects. Our database includes a 10+ year archive of completed projects, full coverage of all global projects with a value greater than $25 million and key contact details for project managers, owners, consultants, contractors and bidders.

Summary

The Ministry of Economy, Croatia (MoE) is undertaking the construction of the floating LNG terminal on the Island of Krk in Croatia.

The project involves the construction of the floating LNG terminal with a throughput capacity of two billion m3/year. It includes the construction of a tanker jetty to accommodate the LNG carriers, two LNG storage tanks with a total storage capacity of up to 360,000m3, vaporizers and ancillary equipment.

The project also includes the construction of processing units, a control room, a maintenance workshop, and administration buildings, the installation of unloading facilities, low and high-pressure pumping systems and related equipment, and the laying of gas pipelines.

LNG Hrvatska d.o.o. (LNG Croatia) a company formed by the state power board HEP Group and gas transport operator Plinacro d.o.o has been appointed as the associate developer. The project will be financed 50% by EU funds, 25% by the Government of Croatia (GoC) and the remaining 25% by private investors.

In 2007, the conceptual engineering study was prepared and Sofregaz was appointed as the design consultant in 2009.

In March 2010, the project received environmental acceptability from the Croatian Ministry of Environmental Protection.

In December 2010, the project was placed on hold due to falling gas demand in European markets and economic crisis.

Public consultations on environmental impact assessment (EIA) lasted from January 16, 2014, to February 14, 2014.

On April 20, 2014, the Ministry of Environment and Nature Protection approved the project after evaluating the environmental impact assessment (EIA) report.

In March 2015, PricewaterhouseCoopers (PwC) was appointed as consulting engineer.

In March 2015, MoE initiated the process of reviving the project.

In July 2015, the GoC has identified the project as the strategic investment project.

In January 2016, LNG Croatia received the expression of interest from seven investors for the public call for investment. Out of seven, four offers were from industrial investors and remaining from financial investors, whose names were undisclosed.

On June 6, 2016, the GoC gave approvals for the construction of land-based LNG terminal.

On September 2, 2016, public consultation held.

The project plans were revised to construct a floating LNG terminal which obtained approvals from the GoC. Initially, the project was aimed to construct an onshore LNG terminal with higher capacity, later the plans were put on hold and revised due to the decreasing gas demand.

LNG Croatia has issued tenders for consulting services with submission deadline as November 22, 2016, to obtaining necessary permits and approvals.

In November 2016, Ukraine expressed interest in joining as a partner for the project development.

On November 8, 2016, LNG Croatia has applied for co-financing to the European Union (EU) under the CEF-Energy-2016-2 program.

On February 17, 2017, EU's Connecting Europe Facility (CEF) Coordination Committee has granted US$109 million funds.

During February 2017, a consortium of European Fund for Energy, Climate Change and Infrastructure (Marguerite), Spain's Enagas and Lithuania's Klaipedos Nafta were interested to invest in the project.

Due to the change in the concept (floating), documentation needs to be changed/modified, LNG Croatia will work on Open Season procedure i.e. booking the capacity of the terminal, which is expected to reach its binding phase, with the signing of Terminal User Agreements between LNG Croatia and interested terminal users as the final step in the first quarter of 2018.

LNG Croatia is planning to commence a Market consultation as the first step of the Open Season Binding Phase procedure which will be later followed by further two steps namely, Preliminary Open Season and the Final Open Season.

The further information on the open season was scheduled to be released on June 23, 2017. However, it was delayed due to political hurdles and currently, Croatia LLC is in process of binding stage.

In July 2017, LNG Croatia chosen undisclosed preferential partners for the investment talks.

Geokon-Zagreb d.d has been appointed by LNG Croatia to carry out the exploration works of the seabed include a series of drillings of the sea bottom, as well as a geological research of the underwater soil and the investigation activities, will be carried out with six Croatian vessels.

On August 16, 2017, exploration works commenced and scheduled to be completed by the end of September 2017. Subject to the results of the exploration works the first-round of tender for the design of the jetty as well as the purchase of the Floating Storage Regasification Unit (FSRU) ship are expected to be issued and the final investment decision is expected to be taken by the end of February 2018 with the terminal operation scheduled in the first quarter of 2020.

Scope

The project involves the construction of the floating LNG terminal with a throughput capacity of two billion m3/year at Omisalj on the Island of Krk, Croatia.

The US$426 million project includes the following:

1. Construction of storage tanks

2. Construction of a tanker jetty

3. Construction of a control room

4. Construction of a maintenance workshop

5. Construction of administration buildings

6. Construction of processing units

7. Installation of unloading facilities

8. Installation of low pressure and high-pressure pumping systems

9. Laying of gas pipelines

Reasons To Buy

  • Gain insight into the project.
  • Monitor the latest project developments.
  • Identify key project contacts.


1.Key Statistics
2.Key Dates
3.Sector
4.Operating metrics
5.Tender Information
6.Scope
7.Description
8.Latest update
9.Background
10.Key Contacts
11.General News, Project News
12.Appendix

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