Rival Cork gas plant could be death knell for LNG
News met with dismay in Tarbert
THERE are fears that the long stalled plans to build a gas terminal on the Ballylongford Landbank could be derailed by a competing project in Cork.
Plans to build the €500m Shannon LNG terminal have been held up for years by a row over multi-million Euro contributions the project’s backers would be forced to pay towards gas pipelines they will never use.
Fears over Brexit had revived interest in the Shannon LNG plan – first announced in 2006 – but the news that a similar terminal could be operational in Cork by 2019 threatens to scupper the project.
“We’re very fearful that in this country there isn’t sufficient demand for two LNG terminals,” said John Fox of the Tarbert Development Association.
THERE are fears that the long stalled plan to build a gas terminal on the Ballylongford Landbank could be completely derailed by a competing project in Cork harbour.
The €500m Shannon liquefied natural gas (LNG) facility planned for Ballylongford in north Kerry has had planning permission since 2006.
However the project ran aground two years ago when the original owner, US investor Hesse, pulled out in part because regulators here insisted they’d have to contribute as much as €50m a year to support infrastructure linking the Irish gas network to the UK.
That was despite the fact that gas landed at Ballylongford would bypass UK pipes.
Fears over Brexit had revived interest in the Shannon LNG plan but recent developments in Cork now threaten to put an end to the whole project.
Last week it was announced that Texan energy firm NextDecade have entered a partnership with the Port of Cork and are planning to build a major LNG import terminal at Whitegate in Cork harbour.
The US firm and the Cork port company – who say the terminal could be up and running by 2019 – are due to meet with representatives from The Department of Marine and Energy; Bord Gáis and Cork industry representatives on August 2 to outline the proposal.
The news from Cork has caused dismay in north Kerry where it is feared that after 11 fruitless years the Shannon LNG project – which has received massive cross party political support – could now collapse entirely.
John Fox of the Tarbert Development Association said his group are very concerned by the news coming from Cork.
“We’re very fearful that in this country there isn’t sufficient demand for two LNG terminals,” said Mr Fox.
“We’ve been promised a whole heap of things on that landbank over the last 60 years but nothing has happened. LNG looked like a real prospect given that the company spent millions on it and has spent years jumping though hoops to try and get it over the line,” said Mr Fox.
“Now we’re 11 years down the road and there still a hasn’t been a sod turned,” he said.
Mr Fox said area badly needs the jobs the plant would create.
“There’s hardly a family around here without a child that has emigrated, some of for good. People follow work.”
“This project was shovel ready seven years ago. It could be up and running by now.”