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European Commission to co-finance LNG bunkering on Port of Algeciras

European Commission to co-finance LNG bunkering on Port of Algeciras

The European Commission will co-finance the construction at the Port of Algeciras, Spain, of the first entirely dedicated liquefied natural gas (LNG) bunkering vessel.


The grant agreement was signed on Tuesday with Enagás and the Algeciras Bay Port Authority.

Enagás reported that the Enagás start-up specializing in small-scale LNG supply infrastructure, Scale Gas, and the Port Authority of Algeciras Bay "boosted" the project (APBA).

The project, organized by Enagás, is part of the LNGhive2 plan, led by the Spanish Ports Authority, and the EU program to contribute approximately EUR 11 million to the implementation of the Trans-European Transport Network, Linking Europe Facility, which will finance 20% of its implementation.

In line with EU Directive 2014/94/EU on Alternative Fuels Infrastructure, the objective is to promote the growth of the LNG market as a sustainable marine fuel.

The project includes the construction of a bunkering barge with a capacity of 12,500 m3 for the processing of LNG, which will enter operation in 2023.

While in service, the vessel will be filled with LNG at the Enagás terminal in Huelva, where it will either be shipped directly to the final customer or moved to smaller barges for the subsequent delivery of smaller vessels at the port of Algeciras.

LNG is seen as a powerful alternative that allows for progress towards the decarbonisation of maritime transport and has been identified as the cleanest fuel among those currently available for this form of mobility, contributing to the improvement of air quality, particularly in ports.

According to Enagás, it removes 100 percent of sulphur oxide (SOX) emissions compared to traditional fuels, thus reducing 80-90 percent of nitrogen oxide (NOX) emissions and 20-30 percent of CO2 emissions.

Maritime Business World 

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