Energy trader Vitol said it has acquired a majority share in Berlin-based LNG firm Liquind for an undisclosed sum.
With this move, Vitol enters the gas-for-transport market, it said in a statement on Tuesday, but it did not provide any additional information regarding the stake purchase.
The German firm backed by Switzerland-based Energy 360° operates a network of 15 LNG filling stations serving the trucking industry in Germany, with the ambition to grow regionally and extend its offering to bio-LNG for transport.
Liquind aims to grow its portfolio by 100 stations over the next five years.
In addition, Liquind plans to launch two LNG bunkering stations for inland vessels to cater to an increasing demand for cleaner fuels in Germany.
“We expect gas to become an important low emissions fuel for the trucking industry in Europe, with the market moving from LNG to bio-LNG over time,” Russell Hardy, CEO of Vitol, said.
“We are delighted to be investing in one of Europe’s leading gas-for-transport companies and working alongside management to extend Liquind’s footprint and offering,” he said.
Vitol says it is a “significant” investor in renewables, with over $1 billion capital committed to renewable power projects.
Also, the LNG trader says the investment in Liquind is in line with its core strategy of investing in assets which complement its trading business.
Vitol anticipates that demand for low emission fuels would increase as the European trucking industry seeks a “practical and timely means of reducing its carbon footprint.”