Alexandroupolis LNG October, 2015. Located in the crossroads of the European energy corridors...

Alexandroupolis LNG

October, 2015

Located in the crossroads of the European energy corridors

Alexandroupolis LNG

Project components

The project comprises 3 distinct components:

3. The two sections of the natural gas pipeline transmission system, i.e.:

• The subsea section: 24 km and the onshore section: 4 km

connecting the offshore terminal to the Greek National Gas Grid (NNGS)

1. The floating LNG Storage and Regasification unit:

• An LNG vessel with mounted regasification functionality (SRV)

2. The permanent offshore structures, including:

• The Mooring system

• The Flex Risers and the Pipeline End Manifold (PLEM), transmitting gas from the floating unit to the subsea pipelines

A Pipeline system comprising a Subsea and an Onshore sectionconnects the floating unit to the NNGTS

SRV

10 km

Alexandroupolis

National NG Transmission

System (ESFA) NNGTS (ESFA)

Subsea pipeline 24 km / D = 30”

New M/R - DESFA

LNG RV

Onshore pipeline4 km / D = 30’’

Technical features

• LNG storage capacity: 170,000 m3

• LNG receiving rate: up to 10,000 m3/h

• Max. sustainable send-out (re-gas) capacity 700,000 Nm3/h (≈ 630 mmscfd) i.e. > 6.1 bcm/yr

• Re-gas system: Hybrid (2 Closed Loop, 2 Open Loop) - 4 x 400 m3/h of LNG

• Sea depth at mooring position: ≈ 40 m

• Adjustable gas send-out pressure to fit receiving system requirements (e.g. NNGS ≈ 50 barg, TAP ≈ 90 barg)

• Pipeline system sizing (diameter): 30’’

Greece

Alexandroupolis

BulgariaTurkey

Komotini

Stara Zagora

to Italy

to G

reek m

arket

to Romania & Eastern European markets

Serbia and Central

European markets

LNG supply

A new energy Gateway to Europe

Kipi

24”

36”

30”

48”

LNG RV

Greek National Gas Transmission System (ESFA)

Gas Interconnector Greece – Bulgaria (IGB)

Gas Interconnector Greece – Turkey (ITG)

TAP / TANAP

Country networks and Regional Interconnectors – SEE and Balkans gas ring

Kula - Sidirokastro

Best placed to offer an Alternative Supply and Route Solution to Bulgaria and onwards to Romania, Serbia and the wider region all the way to Ukraine

Alexandroupolis LNG

• Security & Diversification of Supply

• New Pricing

• Enhancing trading optionality

Careful consideration of Safety, Social & Environmental aspects

Offshore wind parks - Planned

Ship waiting area

NNGS pipeline

Φ2

Φ8

Φ4

Φ3

Φ10

Offshore wind parks - Planned

Touristic zones

Protected Zones

Evros River Delta Gr 1110006

Military Areas

National waters (6 ΝΜ)

Φ1

SEVESO – Worst Case

Scenario

LNG-RV

3,9 km

Evros district South Forest (Gr1110009)

• Minimum environmental footprint

• In cooperation with local and national authorities

• Fully supported by local community

• Offers employment opportunities in the area

• All safety conditions met

Offering direct access to the regional gas markets, creating new investment and marketing opportunities

• Located and sized to capture material Growth potential in the region (anticipated demand growth between 2015-2024 at 20 bcm)

• Feeding into the Greek NG transmission system and to the Greek market

• Potential to supply the large and fast growing Turkish market via the existing ITG

• Can be the earliest available alternative supply infrastructure in the region, ahead of any other planned project

Strategically located to access the Regional markets and infrastructure projects

• Offering a new gas supply route to Bulgaria and onwards to Serbia, Romania & further to Hungary / Ukraine via the Interconnector Greece – Bulgaria (IGB) and the other planned regional interconnection projects

• Ability to link and provide an additional gas source into TAP, support the South Corridor and access the West Balkan markets

• Access to a variety of major new international supply sources including the US and East Med

Project reaching maturity - Licensing completed

• Production license (INGS – Independent Natural Gas System license):

Received from the Ministry of Environment, Energy and Climate Change, following positive opinion of the Greek Energy Regulator (RAE) (Aug.2011)

• Access rights to shore, seabed and sea area (required for subsea / offshore works):

Granted by the Ministry of National Economy (Sept.2014)

Project start up: 1Q2018

• SEVESO II study:

Submitted to the Ministry of Environment, Energy & Climate Change (May.2012) Acceptance from all relevant authorities granted for the 1st phase of development

• Environmental & Social Impact Assessment (E.S.I.A.) study:

Approved by the Minister of Environment, Energy & Climate Change (27.03.2013)

• Installation Act and Installation license

Installation Act and Installation license issued by the Ministry of Environment, Energy & Climate Change (30.12.2014 & 20.01.2015 respectively)

ALEXANDROUPOLIS LNG INGS

Project Licensing completion rate: > 80% (Cont’d)Favourable conditions and prospects for the financing of the project

• Project received PCI status from E.C. (EC 347/2013, EC 1391/2013) for the period 2013-2015 and is again in the final list to maintain PCI status for 2015-2017

• Eligible for Grants of up to 50% through Connecting Europe Facility (CEF) – Grant already APPROVED for FEED (November, 2014) – (€ 1.75 mil.)

• Eligible for favorable financing tools and terms from E.I.B. (E.F.S.I.) / E.B.R.D.• Project eligible for subsidies and tax exemption in line with Greek Investment law • Project candidate to be included in the 2014-2020 Corporate Agreement for the

Development Framework (C.A.D.F. – E.S.P.A.) • Export financing schemes available from equipment suppliers

• Long standing relationships with local and international financial institutions