The Anonymous Widower

Energy Security Boost After Centrica And Repsol Agree LNG Supply Deal

The title of this post, is the same as that of this press release from Centrica.

This is the sub-heading.

Centrica Energy and Repsol today announced the signing of a deal that will improve the UK’s energy security in the coming years.

These two paragraphs give more details of the deal.

The deal will see Centrica purchase 1 million tonnes of Liquified Natural Gas (LNG) shipments between 2025 and 2027. All of these cargoes are expected to be delivered to the Grain LNG import terminal in Kent.

The deal marks an additional move by Centrica to build further resilience in the UK’s energy security. It follows a 15 year, $8bn deal with Delfin Midstream in July 2023, a three-year supply agreement with Equinor that will heat 4.5m UK homes through to 2024 and the reopening and expansion of the Rough gas storage facility in October 2022 and June 2023 respectively. Rough now provides half of the UK’s total gas storage capacity with the potential to store over 50 billion cubic feet (bcf) of gas, enough to heat almost 10% of UK homes throughout winter.

Centrica do seem to be keeping us supplied with gas.

Two days ago, National Grid published this press release, which is entitled Grain LNG Signs New Deal With Venture Global Further Strengthening The Security Of Supply Of LNG To The United Kingdom.

This is the sub-heading.

Today (5 February), Grain LNG and Venture Global have announced the execution of a binding long-term terminal use agreement (TUA) enabling the regasification and sale of LNG from all of Venture Global’s LNG terminals in Louisiana, including CP2 LNG, subject to obtaining necessary federal permits.

These two paragraphs give more details of the deal.

Under the agreement, Venture Global will have the ability to access 3 million tonnes per annum (3MTPA) of LNG storage and regasification capacity at the Isle of Grain LNG receiving terminal for sixteen years beginning in 2029, equivalent of up to 5% of average UK gas demand.

This is the second agreement from Grain LNG’s competitive auction process which was launched in September 2023. The successful outcome of the auction further secures the future of Europe’s largest LNG import terminal into the mid 2040s.

Two big deals in the same week is not to be sneezed at and must be good for the UK’s energy security.

Grain LNG

The Grain LNG web site, greets you with this message.

Welcome To Europe’s Largest Liquified Natural Gas Terminal, Grain LNG

Grain LNG is the gateway connecting worldwide LNG to the European energy market, making a genuine difference to people’s lives. Find out all about our cutting-edge operations – showcasing our leadership in powering the future – and why Grain LNG is at the forefront of energy as we move towards net zero.

There is also a video.

This Google Map shows the location of Grain LNG on the Isle of Grain.

Note.

1. The River Medway flows into the River Thames between the Isle of Grain on the left and the Isle of Sheppey on the right.
2. From South to North, the red arrows indicate, the National Grid – Grain Terminal, National Grid L N G and Grain LNG.

There would appear to be space for expansion.

February 7, 2024 - Posted by AnonW | Energy | Centrica, Grain LNG Terminal, Isle Of Grain, Liquified Natural Gas, National Grid, Repsol, Rough Gas Storage