Grain LNG has today launched an auction for 375 GWh/d (approx. 9 mtpa) of existing capacity
This process will run from 14th September until 23rd November 2023
Grain LNG, the largest liquefied natural gas (LNG) terminal in Europe, has today launched an auction for 375 GWh/d (approx. 9 mtpa) of existing capacity. This process will start today (14 September) and run until 23 November 2023.
Grain LNG, which is part of National Grid Ventures, has used the positive feedback received from the recent market consultation exercise and, following Ofgem approval, is offering three lots of capacity.
Each lot will consist of 42 berthing slots, 200,000 m3 of storage and 125GWh/d (approx. 3 mtpa) of regasification capacity from as early as January 2029.
This product is specifically designed for parties who wish to acquire a substantial stake in a major terminal in Northwest Europe, at a reduced cost and with shorter contract lengths when compared to new-build projects.
The business has also worked with Ofgem to arrange a 'Joint Bid' provision, facilitating arrangements whereby participants can put a joint bid in the Auction and share capacity.
As the terminal’s capacity already exists, parties involved will not be subjected to the FID approvals or potential delays that can arise from construction issues commonly associated with new build terminals.
Simon Culkin, Importation Terminal Manager at Grain LNG, said: "We continue to be encouraged by the high level of interest shown by potential customers at a time of significant geo-political influence on the world’s energy markets. It has allowed us to engage and shape our offering to best meet customer’s needs, whilst optimising the best possible access to this strategically important asset."
The auction will enable participants to bid for existing capacity, either individually or jointly, allowing them to leverage Grain LNG’s unique scale and flexibility in order to maximise their value. Companies interested in participating in the auction should visit the www.grainlng.com website, where detailed information of the product on offer and the contract terms can be found.
With the launch of this auction, Grain LNG reaffirms its dedication to the security of supply to the UK and Europe and its commitment to delivering reliable, efficient, and flexible LNG solutions.