Oil Report

Nord Gas plans LPG terminal on Estonian coast

TALLINN, Feb 11 (Reuters) - An Estonian-based company, AS Nord Gas, is planning to build a 100,000 cubic metre liquid petroleum gas (LPG) terminal in Estonia and seek supply from Russia and central Asian states, the daily Eesti Paevaleht said on Monday.

The planned terminal with a total annual capacity of 800,000 cubic metres would cost 32 million euros ($46.60 million) to build and construction could start as early as November this year, although no port site has been selected or approved as yet, the daily said.

The newspaper said that the export terminal could supply gas markets in Germany if the controversial German-Russia Nord Stream undersea gas pipe line project was delayed.

Board member of the company, Sander Maasik, was reported as saying it could take several years to start operations depending on the delivery of equipment to liquefy and store the liquid gas.

Estonia has been an important outlet for oil products exported from Russian and Belarusian refineries.

However, a recent diplomatic spat with Russia and Moscow’s stated aim to use its own ports for exporting natural resource exports has seen oil loadings fall. (Reporting by David Mardiste; editing by James Jukwey)