Agreement with Shell for supply of LNG
The Gibraltar government has signed an agreement with Shell for the supply of liquid natural gas for power generation on the Rock. The agreement includes the provision of a small regasification unit where the LNG, which will be delivered by sea, will be stored and regasified.
The LNG will be used by Gibraltar’s new gas-fired power plant, which is currently under construction beside the port.
The liquefied gas will be delivered at night to minimise disturbance to nearby installations such as the port, airport and housing.
Chief minister Fabian Picardo said this agreement was a “massive advance” towards guaranteeing the integrity and security of Gibraltar’s electrical supply for the next 30 years.
The government says that construction of the regasification unit should begin before the end of this year and the first supplies of LNG will arrive before the power plant is put into operation in 2017. The LNG is expected to be delivered twice a month, on average.source surinenglish