Dow Inc. has joined a consortium that plans to build and operate one of Germany’s first liquefied natural gas import terminals, according to Reuters.
The details: Dow signed an agreement Monday to purchase a minority stake in the Hanseatic Energy Hub GmbH (HEH), which intends to construct a zero-carbon-emission LNG terminal on Dow-owned land in Stade, Germany.
- “The import terminal has a projected regasification capacity of 13.3 bcm of natural gas per year and would satisfy up to 15% of Germany’s natural gas demand, Dow said in a statement on Monday,” according to Reuters.
Why it matters: The news follows a pledge by the Biden administration to supply 15 billion cubic meters of LNG to the European Union in the wake of Russia’s invasion of Ukraine.
- The new LNG terminal would allow the U.S. to meet almost 25% of its goal to export 50 billion cubic meters to Europe annually by 2030, according to Dow.
What they’re saying: “This collaboration to construct an LNG import terminal in Germany takes a major step in enabling a stable, cost-effective and sustainable supply of energy to Europe,” said Neil Carr, president of Dow Europe, Middle East, Africa and India, in a press release.
- “For Dow, this allows us to make a significant contribution to transforming the energy supply in Germany in support of its 2045 climate targets while increasing the competitiveness of Stade, a site important for serving Dow customers throughout Europe,” he continued.
The NAM’s view: “Helping our allies in Europe move away from overreliance on Russian gas will promote supply chain and geopolitical stability. This LNG project will be critical to achieving these goals and holding Russia accountable,” said NAM Vice President of Energy and Resources Policy Rachel Jones.
- “Projects like this are also critical to protecting our planet. Utilizing cutting-edge technologies, the United States can produce energy resources in much cleaner and more efficient ways than other countries. In fact, the Department of Energy has acknowledged Russia’s LNG is the ‘dirtiest form of natural gas on Earth.’
- “Our nation has the largest energy resource reserves in the world and can tap them cleanly and efficiently, if allowed to do so. But when we fail to produce energy here, it is produced elsewhere—and at much greater cost to the environment. Manufacturers welcome this move and call for continued bold actions to boost our domestic energy production and trade.”