Angus Energy, Trafigura collaborate on UK gas storage project

Angus Energy has entered into a memorandum of understanding (MoU) with a subsidiary of Trafigura Group to explore the development of an underground storage facility at the Saltfleetby gas field in Lincolnshire, Angus said on February 22.

The MoU outlines the joint intention to collaborate on the creation of a storage facility capable of accommodating natural gas, CO₂, or hydrogen, with Trafigura potentially serving as the inaugural customer for the stored products.

"This project builds on the strategic relationship Angus has established with Trafigura with its new loan facility and gas sales from the Saltfleeby field.  The gas storage project has the potential to facilitate the United Kingdom's transition from carbon-heavy fuels to energy sources with a lower environmental impact while making attractive commercial returns for shareholders," Richard Herbert, CEO, commented. 

As part of the collaboration, Trafigura and Angus Energy aim to define specific milestones within the next 12 months from the MoU date. These milestones will be subject to technical and commercial feasibility.