GasLog, the Monaco-based owner, operator and manager of LNG carriers, closed the sale and purchase agreement to acquire a 20 percent shareholding in Gastrade.
Gastrade is licensed to develop an independent natural gas system offshore Alexandroupolis in Northern Greece utilizing an FSRU along with other fixed infrastructure.
Following an initial announcement in December 2016, where GasLog informed it had entered into the SPA, all conditions required to close the acquisition have now been satisfied and the company has become a 20 percent shareholder in Gastrade.
The Greek company formed by Asimina-Eleni Copelouzou, has been involved in the development of the Alexandroupolis FSRU project over a number of years.
GasLog, as well as being a shareholder, will provide operations and maintenance services for the FSRU.
Gastrade is currently in discussions with a number of additional potential investors, including DEPA, the Greek state-owned gas company, Bulgarian Energy Holding (BEH), the holding company of the Bulgarian Ministry of Energy and major gas suppliers.
Other large scale international companies have expressed an intention to participate in the ownership and development of the terminal. A number of companies have also expressed interest in supplying LNG to the project, GasLog’s statement reads.
This FSRU project would provide a new route and a source of gas diversification to a number of countries that are currently highly dependent on pipeline gas in South East and Central Europe. The project has the backing of the Greek and the Bulgarian Governments as well as the support of the EU.
The front-end engineering and design (FEED) study is expected to be part-funded by an EU grant and is scheduled to commence in the coming weeks.
Gastrade targets to make the final investment decision (FID) by the end of 2017 with the project scheduled to be operational by end of 2019.