Commissioning of the regional LNG terminal in Paldiski, Estonia

Report:
Year registered: 2018
Type:
Energy
Status:Substantial Progress
3SI countries proposing the project:

Estonia

Participating 3SI countries:

Latvia, Estonia

Partner countries:

Finland

* not part of the 3Seas Initiative
Main objectives:

To ensure long-term security and diversification of the gas supply to the Republic of Finland and to the Baltic States on the most competitive terms, to enable access to the global LNG markets, to increase competition among suppliers and promoting LNG use as an alternative fuel in marine and transport sectors as well as for off-grid gas consumers with future potential to facilitate hydrogen storage and logistics in the region.

Short description:

With BEMIP studies and member states’ agreements, the most feasible location for the regional LNG import terminal was determined to be on the landfall of Balticconnector (gas interconnector between Estonia and Finland) in the middle of the existing and future regional Baltic and Finnish gas market. After the Republic of Finland decided to withdraw its own plans for a regional terminal in 2015, it was agreed that the regional terminal will be built in the Republic of Estonia. A regional LNG terminal project has been developed in Paldiski (Republic of Estonia) where the Balticconnector landfall is located. All requisite planning and FEED is completed, all building and environmental permits have been obtained. On-site preparatory works of infrastructure have started.

Due to geopolitical situation and volatile energy prices, at the moment Estonia and Finland have decided to rent FSRU. The initial plan has put on hold and participants are moving forward with the FSRU plan. Construction works have already begun and the estimated time for commissioning is November 2022.

Calendar of implementation:
  • 2021-2024
    Construction

    Construction of FSRU has already started and will be finished on November 2022.

    On initial plan (regional LNG terminal in Paldiski) the time-line is unknown due to new geopolitical situation.

Budget:
400M0%
secured
Financing sources:
To be determined