Norway-based LNG provider Skangass has officially started operations in its new import terminal for LNG in Lysekil, Sweden.
The NOK700m ($107m) terminal is the result of a joint effort between Skangass and Swedish petroleum corporation Preem, an important customer of Skangass.
The company will provide the natural gas to Preem through a pipeline and other land-based businesses will receive deliveries by truck. Skangass’s marine customers will also benefit from this terminal.
Skangass CEO Tor Morten Osmundsen said: "Our customer Preem and the LNG terminal in Lysekil is just another good example of what Skangass is aiming at; helping our customers meeting their goals for becoming more energy-efficient and environmentally friendly in their daily operations."
Preem CEO Petter Holland said: "Using natural gas in the processes will lead to a reduction of the annual emission of carbon dioxide by approximately 130,000t.
"The natural gas will replace naphtha and butane as raw material in the hydrogen production.
"A large amount of hydrogen is used in the processes, among others, for removal of sulphur and cracking in the diesel production."
Earlier this year, Skangass started the construction work of its LNG terminal at the Tahkoluoto port of Pori on the south-western coast of Finland.
This 30,000m³ capacity terminal, which is due to be completed in 2016, will serve the entire western coast of Finland from Hanko to Kokkola.
Image: Skangass’s new LNG terminal in Lysekil, Sweden. Photo: courtesy of Skangass AS.