Greece's second LNG terminal reaches FID

 Gastrade announced on January 28 that it had taken a final investment decision on the construction of Greece's second LNG terminal.

The sanctioning of the Alexandroupolis LNG terminal comes after the project, whose founding shareholder is Greek businesswoman Elmina Copelouzou, attracted other investments from Greek gas companies DESFA and DEPA Commercial, Cypriot LNG carrier operator GasLog and Bulgarian gas transmission operator Bulgartransgaz. The European Commission cleared these investments of competition concerns in late November.

The floating storage and regasification unit in east Greece is due to start up in 2023. The facility will import up to 5.5bn m3 of gas annually, and half of this capacity has already been contracted, Gastrade said. It will have a storage capacity of 153,000 m3, and will be connected to the Greek gas system via a 28-km pipeline.

Greece already enjoys a diversified gas import mix, receiving supplies from Russia, Azerbaijan and various LNG supplies, which come ashore at a terminal near Athens. But it wants to position itself as a hub for regional gas flows. 

According to Gastrade, Alexandroupolis LNG will cater not only for consumers in Greece but also send supplies to Bulgaria and the wider regions, from Romania, Serbia and North Macedonia to as far away as Moldova and Ukraine. A cross-border link to send gas from Greece to Bulgaria is due to be commissioned later this year.

Alexandroupolis LNG was strongly endorsed by Brussels, which signed off on a $200mn grant for the project in June last year.