Uchenna Izundu
International Editor
LONDON, Sept. 17 -- Gassco AS is studying the feasibility of expanding the capacity of its proposed 20 million cu m/day Skanled pipeline, which would deliver Norwegian gas into Nordic markets by 2012. Gassco is looking at increasing capacity to 24-26 million cu m/day.
Current plans are to construct an 850-km subsea pipeline from the Karsto terminal, with branches of the pipeline ending in Lysekil and Vallby kile and terminating in Bua on Sweden's west coast. The system would cost $1.2 billion.
Gassco Executive Vice-Pres. Thor Otto Lohne said the company likely would increase the capacity, but it was not clear how much construction costs would increase if it did so. He told OGJ the capacity could be added at the outset of the project or under a second phase, although no decision has yet been made.
One of the drivers behind increasing the gas deliveries is Denmark's expected imports of gas from 2012 once reserves from Gronigen field are depleted. Poland also wants to receive supplies from Skanled, as the country aims to reduce reliance on Russian gas imports.
Ten companies have committed to fund the project, and 10 have booked 18 million cu m/day of gas supplies. Project participants will make a final investment decision on the line in October 2009.
Contact Uchenna Izundu at [email protected].
