This past week in Germany.....it came out (Via ARD news) that the government will fund to around 2.5-billion Euro....four floating LNG terminals....'to save the country from the Russians cutting off the current flow'.
These 'ships' will be set into some harbor area, to which a LNG tanker would float up....hook the hoses, and dump their liquid natural gas.
Now...is it a purchase? No....it's a rental deal for one year for the four.
Where the LNG ships are expected to come from....once the terminals are in place? Qatar and the US.
Hyping up the environmentalists? Absolutely. But they don't have a plan 'B' for society to survive if the Russians slow the flow down.
The permanent dock? Chatter suggests they won't be operational until you get to the end of 2024. So this 2.5-billion Euro deal might come around a second, and possibly a third time? Yeah....although no one is suggesting that in public.
Remember as well....this 2.5-billion Euro ONLY pays for the floating terminal....not the LNG itself.
Realistic view of how much they can trim back off the Russians? There are various estimates for the end of 2022. Currently, the Russian input is near 50-percent. Most of the estimates say that cutting about one-third of that by early 2023 is probably the only thing you should anticipate.
Russians standing still? Well....no. They have talks going on with India and China. The problem is that they don't have 'funnels' to bring the product easily to the 'front-door' (yet).
2 comments:
Well, given the environmentalists having been telling everyone since the 80's that we need to move towards renewables I think they can safely say I told you so to all the government's now caught out.
I think the key 'pole' in this energy tent....when it comes to heating, since the 1970s, natural gas is the cheapest way. I worked with a guy who had purely electrical heat for the house, and after the first season...he went ballistic when the yearly electric bill came up (crazy amount). If you look at electric rates....they've done nothing but rise, and Germany has the highest rates in the EU (going back to this effort to make nuke/NG/coal/wind/solar all fit and work).
At this point, I would speculate that a fair number of Germans over the next six months will add wood/pellet auxiliary heating systems to the house, in anticipation of a massive Russian cut on NG, and this port-delivery business of LNG marginally working over the next 12 months. This will be a very unpleasant period....which even the environmentalists will agree upon.
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