Croatian LNG terminal in demand

The LNG terminal on Krk island, which will include a Floating Storage & Regasification Unit (FSRU), has a technical capacity of 2.6bn cubic metres a year. Croatia’s environment and energy minister Tomislav Ćorić has said that 98% of the capacity has been booked,

“The completion of this project and its inauguration on 1 January 2021 puts Croatia on Europe’s energy map,” Mr Ćorić said. “The project primarily provides for the security of energy supply in Croatia and contributes to the EU’s energy supply security, and it helps avoid any additional costs for our citizens… we expect the price of natural gas in Croatia in the coming period to drop.”

LNG Croatia

The terminal is owned by two state-owned companies, energy firm HEP Group and gas company Plinacro. LNG Croatia LLC is responsible for the operation, maintenance and development of the LNG terminal.

Mr Ćorić said said the revenue of LNG Croatia LLC will exceed €100m in the next five years and gas prices could go down.

He said that in addition to an EU grant, Croatia had decided to finance a part of construction work on the terminal from the state budget while the rest was financed by corporate investments and loans.

The entire capacity of the LNG terminal on Krk Island has been booked for the next three gas years, LNG Croatia said, adding that part of the capacity has been reserved by Powerglobe Qatar LLC.