LNG terminal and U.S. naval base boost Port of Alexandroupolis status

Alexandroupolis, Greece (Ports Europe) January 26, 2022 – The final investment decision (FID) for the FSRU (floating storage regasification unit) in the Mediterranean port of Alexandroupolis is expected in February with major LNG (liquefied natural gas) players from the U.S., Qatar, Egypt and others, interested to book volumes at the gas terminal, currently under development. LNG exporters want to use the Alexandroupolis FSRU to penetrate Russia-controlled gas markets of the Balkans and even deeper into Eastern and Central Europe. The fast-growing Greek gas market is also an appealing target. The crisis in Ukraine and the energy crisis in Europe which depend on Russian gas, highlight the key role of Alexandroupolis. Together with TAP (Trans Adriatic Pipeline), IGB (Interconnector Greece Bulgaria), the Bulgaria-Romania-Hungary vertical axis, and the project for a Greece-North Macedonia Interconnector, the FSRU can diversify the gas supplies of South East and Central Europe. The port of Alexandroupolis has become of increased geopolitical importance in the region. In March this year, U.S. Ambassador to Greece, Geoffrey R. Pyatt said that defense and security relations between Washington and Athens had developed over the last years. “The U.S. interest in Alexandroupolis obviously goes beyond our military and security cooperation. We are very serious about the U.S. Development Finance Corporation and their commitment of interest in the privatization of that port and the associated port of Kavala,” he said. In March 2021, the Hellenic Republic Asset Development Fund (HRADF) pre-qualified the interested parties that meet the eligibility criteria to participate in Phase B (Binding Offers Phase) of the tender process for 67% of Alexandroupolis Port Authority: Consortium of the companies Cameron S.A.- Goldair Cargo S.A.- Bollore Africa LogisticsConsortium International Port Investments Alexandroupolis, composed of the companies Black Summit Financial Group – Euroports-EFA Group and GEK TernaQuintana Infrastructure & DevelopmentThessaloniki Port Authority S.A. Greece’s largest port of Piraeus is under Chinese control. The country’s second largest port of Thessaloniki is in the hands of a controversial Russian businessman with close ties to Russia’s President Vladimir Putin. Further Ports Europe stories about the ports of Piraeus and Thessaloniki. U.S., NATO, and the EU countries missed the opportunity to establish presence in these strategic Greek ports. With this background, the importance of the small port of Alexandroupolis becomes disproportional to its size. In June 2021, European Commission (EC) has approved €166.7 million in support for the construction of the LNG terminal in Alexandroupolis. The FSRU will be located 17.6 km southwest of the port of Alexandroupolis and will have an LNG storage capacity of 170,000 m³ and a natural gas supply capacity that will exceed 5.5 billion m³ per year. The floating unit will be connected to the National Natural Gas System of Greece via a 28 km long pipeline, through which the regasified LNG will be transmitted to the markets of Greece, Bulgaria, North Macedonia and the wider region from Serbia and Romania to Hungary, Moldova and Ukraine. The LNG terminal in Alexandroupolis is expected to be operational in 2023. It consists of an FSRU for the reception, storage and regasification of LNG, as well as a system of a sub-sea and an onshore gas transmission pipeline which will connect the it to the National Natural Gas System of Greece (NNGS). The project is included in the EC’s list of European Project of Common Interest in the energy sector, based on the EU TEN-E (Trans-European Network for Energy) rules. It is considered key to diversifying energy supply in Greece and the region. Greece has confirmed that the LNG Terminal could also handle hydrogen. More Ports Europe news about the port of Alexandroupolis The U.S. has rotating presence in a number of facilities in Greece – from the Souda Bay on the island of Crete (one of the largest deep-water ports in the Mediterranean) to Stefanovikeio, port of Alexandroupoli and Larissa Air Base. Athens would like to see the island of Skyros added to this list. This is part of the U.S.-Greece Mutual Defense Cooperation Agreement (MDCA). Copyright (C) Ports Europe. All Rights Reserved. 2022.

LNG terminal and U.S. naval base boost Port of Alexandroupolis status

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LNG terminal and U.S. naval base boost Port of Alexandroupolis status

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PSA Antwerp, Combinant sign a Memorandum of Understanding (MoU)

Vezzani requests car terminal concession, Porto Marghera

Restructuring plan for Vittoria shipyard approved by Court of Rovigo

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Our Expert Analysis

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