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Snam, BHGE plan to develop four 'micro' LNG plants in Italy

http://www.chemnet.com   Jun 01,2018 platts
Snam, the Italian transmission system operator, and GE company Baker Hughes, or BHGE, the US oilfield services provider, have entered into an agreement to determine the feasibility of developing four new liquefaction plants for natural gas and biomethane, the companies said in a joint statement Monday.

Four liquefaction plants for gas, biomethane
Total production around 140,000 mt/year
Projected cost Eur50 million-80 million

The four new small-scale plants, which would be able to liquefy pipeline gas and biomethane, were due to have a production capacity in the region of 140,000 mt/year, while investment in the new plants was said to be Eur50 million-80 million ($58-$93 million), the statement said.

Related story: Italy's Snam completes acquisition of energy efficiency company TEP

Snam and BHGE will, by the end of 2018, determine the "feasibility of the future development," which could also include "the opportunity to develop further micro-liquefaction plants in Italy and abroad," they said.

The new plants were said to be the first micro-LNG plants in Italy and among the first in Europe.

Snam CEO Marco Alvera said the move was to aid the "decarbonization of the entire heavy transport sector throughout Italy." The statement said that, "Bio-LNG is the only currently available solution for fully renewable zero CO2 fuels for heavy duty transport."

It said that the number of vehicles that use LNG as a fuel in Italy had increased "from less than 100 to about 1,000 units since 2010" and that the development of the new micro-LNG plants across the country could help to increase the use of LNG trucks further.
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