Greece has approved the construction of a floating gas and regasification unit (FSRU) off Athens after a fast-track process, its development ministry said on Friday.

As demand grows for liquefied natural gas (LNG) in Europe in the wake of the war in Ukraine, Greece has relied heavily on its sole LNG terminal off Athens, Revithoussa, to replace Russian gas imports.

Bulgaria also used the facility last year to secure LNG after Moscow cut Russian pipeline gas supplies to the country.

The new gas terminal will be developed by Motor Oil (MOr.AT) off its oil refinery in Corinth, near Athens, at a cost of 340 million euros ($369 million).

It will have a maximum storage capacity of up to 210,000 cubic metres of gas which will be either regasified and exported through Greece’s gas grid or sold as LNG via vessels and trucks.

Motor Oil had pushed back to Jan. 25 the deadline for interested parties to submit binding offers for booking capacity at the terminal, citing increased market interest.

Source: Reuters