Enagás subsidiary Scale Gas and Peninsula have signed an agreement for the construction, joint ownership and charter of a 12,500 cbm-capacity LNG bunkering vessel that will be based in the Port of Algeciras and provide services in the Strait of Gibraltar.
The vessel will be chartered exclusively by Peninsula through an initial seven-year contract, and will use Enagás' regasification plants, predominantly in Huelva, as LNG loading points. It is expected to be delivered in June 2023 by South Korean shipyard Hyundai Mipo.
As previously reported, in December 2020, Enagás announced that it had signed a grant agreement with the European Commission and the Port Authority of Algeciras Bay for the vessel – the first fully dedicated LNG bunkering vessel at the Spanish port.
News of the LNG bunker vessel followed an announcement in November 2020 from multinational electric utility company Endesa that it was to invest more than €30 million in the Port of Algeciras as part of plans to develop ‘the largest LNG supply centre for gas-powered ships in Spain’.
‘Peninsula and Enagás share a vision to develop the use of LNG as a maritime transitional fuel and having the support of a company like Enagás is an incredibly positive and exciting development,’ said John Bassadone, owner and CEO of Peninsula. ‘As one of the largest physical suppliers of marine fuels globally, this is the first step of our transition to a more sustainable future. This vessel will hopefully be the first of many that will offer flexibility and solutions across our global network to our customers.’
Oscar Maciñeiras, CEO of Scale Gas added: ‘This agreement is 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.’
In the April/May edition of Bunkerspot, Rhys Berry examines the potential for LNG bunkering in the Strait of Gibraltar. To read the article, click here.