Belgium’s Fluxys and Russia’s Novatek have decided not to proceed with plans to build a mid-scale LNG transshipment terminal in the German port of Rostock.
The partners signed a land lease agreement with the Rostock port for the planned facility back in October 2018.
“Despite constructive support from all project stakeholders, current market conditions proved indeed to be too challenging to pursue the project,” Fluxys spokesman Laurent Remy told LNG Prime in an emailed statement.
He added that Fluxys remains committed to help achieve climate neutrality through the promotion of LNG and bio-LNG utilization not only in the maritime and road transport sector but also for delivery to off-grid industry.
“In that respect, various small-scale LNG services are already available to the market at its LNG terminals of Zeebrugge and Dunkirk, as well as in the port of Antwerp,” he said.
Fluxys and Novatek had planned to build an LNG terminal with a capacity of about 300,000 tons per year in the Rostock port.
Plans included sending LNG carriers from Novatek’s medium-scale LNG plant in Russia’s Baltic Sea port of Vysotsk to Rostock. LNG truck deliveries were on the agenda as well.
In addition, the partners were looking to supply LNG bunkering vessels from the facility.
The LNG terminal at Rostock would have allowed the partners to market LNG as a marine fuel and truck fuel instead of diesel and fuel oil.
The firm said recently it has plans to build another 28 LNG truck filling stations in Europe as an increasing number of firms opt for the fuel to reduce costs and emissions.