KLAIPĖDA LNG TERMINALS AS AN

INCENTIVE FOR FURTHER DEVELOPMENT

OF LNG INFRASTRUCTURE
MINDAUGAS JUSIUS 2019 05 15
CEO of KN Klaipėda LNG Forum 2019
KN
WE ARE ONE OF THE MAJOR
COMPANIES OF
ENERGY RESOURCES
LOGISTICS
IN THE BALTIC STATES
SPECIALISING IN
OIL AND GAS
INDUSTRY

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 OUR EXPERIENCE ENCOURAGES US TO BOLDLY FACE NEW CHALLENGES

years years years

OIL TERMINALS LNG TERMINALS INTERNATIONAL LNG
- Klaipėda oil terminal - Klaipėda LNG terminal BUSINESS
- Subačius oil terminal - LNG reloading station DEVELOPMENT
- LNG bunker vessel “Kairos“
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 AND WE ARE AMONG THE FIRST ONES TO MEET THEM AND LEAD IN THE MARKET
WE ENSURE THE SUPPLY OF OIL
PRODUCTS AND PRESERVE THE
STATE RESERVE
The infrastructure managed by
KN ensures the preservation
of the state reserve of oil
products, provides Lithuania
and the neighbouring states
with extensive possibilities of
import and export of oil
products.
WE ENSURE ENERGY WE CONTRIBUTE WE ARE ONE OF THE WE HAVE DEVELOPED
INDEPENDENCE CONSIDERABLY TO LARGEST COMPANIES OF THE REGIONAL LNG
THE STATE BUDGET THE PORT VALUE CHAIN
The infrastructure managed In 2018, KN paid EUR 175.3 In 2018, KN reloaded 6.7 The LNG supply infrastructure,
by KN ensures the million in taxes, and it is the million tons of cargo, which which KN has been actively
preservation of the state 4th major national tax payer make up 14.4% of the total developing since 2014, i.e. the
reserve of oil products, and the 5th major state amount of cargo of the Port LNG terminal, the LNG
provides Lithuania and the managed Lithuanian of Klaipėda. distribution station, the LNG
feeder vessel Kairos, created
neighbouring states with company paying dividends
the LNG supply chain, and
extensive possibilities of (EUR 17 million in 2017).
now it provides integrated
import and export of oil
LNG logistics services across
products. the whole region.
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 CHALLENGES FUEL OUR
ACTIVITIES, AND
INNOVATIONS ARE
CODED IN OUR DNA
 WE ARE AMONG THE FIRST ONES TO FACE THEM AND LEAD IN THE MARKET

The construction of The currently expanded The inspection of The infrastructure we In 2017, we were the
Klaipėda LNG terminal Klaipėda oil terminal will Independence in 2019 was developed made first in the world to
made Lithuania the 5th make it possible to among the first inspections Lithuania the 12th provide services of LNG
state in the world to import and export at works performed in the country in the world to reload from a storage
use the FSRU least 10 new oil world without suspending re-export LNG. vessel.
technology. products. the operation of the vessel
and placing it in the dry
dock.

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 LNG
VALUE CHAIN
IN
KLAIPĖDA
LNG INFRASTRUCTURE IN KLAIPĖDA

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 KLAIPĖDA LNG TERMINAL

 KN is developer and operator

 Energy security measure for the Baltic States
 Terminal based on FSRU Independence
 Gas diversification
 Storage – 170.000m3; Regas ~4bcm
 Full Third-Party-Access
 Average utilization in 2017 – >30%
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 BREAK BULK

January February March April May June July August September October November December

2019

2018

2017
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Reload operation from FSRU
 SMALLKN value
SCALE proposition
BREAK BULK

 Reloading up to 5.000 m3/h

 LNG Bunker vessels capacity from 1.000m3
 No additional investment for reload
 LNG quality determination with GC and
 12 reloads performed since 2017
sampling during reload
 Navigation in Klaipeda port 24/7
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 DELIVERIES

January February March April May June July August September October November December

2019

2018
2017
Reload operation to SSLNG terminal

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 BUNKERING AND TRUCK LOADING

 Third party access

 No BOG allocation to users
 Multi-service and flexible small scale terminal
 Service 24/7
 Up to date technology
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 TRUCK LOADING

Volume of LNG storage tanks 5 x 1.000m3 Number of truck loading bays 2 bays

Maximal LNG filling level 90% Maximal number of LNG loaded trucks per day 24 trucks
Annual technological capacity 250.000m3 LNG truck loading rate up to 100 m3/h

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 VESSEL BUNKERING

Length of the jetty 274m

Maximum vessel draught 12,5m

close to the port KSSA applies 70 % discount for certain port dues if
Jetty location vessel arrives for the purpose of bunkering.
entrance
LNG bunkering rate up to 500 m3/h
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 LNG TRANSPORTATION

ICE Class
Capacity 7.500 m3
Flexible LNG transport service to Klaipeda
LNG loading rate 2.500 m3/h LNG reloading station
LNG discharge rate from 60 to 1.250 m3/h

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 AND WE WANT TO SHARE OUR EXPERIENCE WITH THE WHOLE WORLD

We invest into new LNG terminals

by developing LNG projects and
consultations. We focus on
projects, which:

- are based on floating LNG

technologies;
- could be used to render terminal
operation and maintenance services;
- are implemented in countries with “Strategic KN priorities include international LNG
projects, which provide KN with a number of wide
sufficient level of investment security
possibilities to establish itself as the global leader
and physical security of employees; in the LNG field”.
- could generate a risk-adjusted
return on investment. Mindaugas Jusius, KN CEO
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 LNG RELATED
DEVELOPMENTS
IN THE BALTIC SEA
REGION

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 SUPPLY INFRASTRUCTURE (CURRENTLY PLANNED OR UNDER DEVELOPMENT)

Nord Stream 2 [under development]

1 55.0 bcm/a from Russia to Germany

Baltic Pipe [under development]

2 10.0 bcm/a from Norway to Denmark and Poland, or 3 bcm/a from Poland to Denmark

Gas Interconnection Poland Lithuania (GIPL) [under development]

3 2.4 bcm/a from Poland to Lithuania and 1.9 bcm/a from Lithuania to Poland1)

Swinoujscie LNG terminal expansion [operational, but extension proposed]

4 Additional storage capacity of 180,000 cu m and 2.5 bcm/a throughput

Gdansk LNG terminal [proposed]

5 Storage capacity uncertain and 4.1 to 8.1 bcm/a throughput

Kaliningrad LNG terminal [operational]

6 Storage capacity of 174,000 cu m and 2.7 bcm/a throughput

Skulte LNG terminal [proposed]

7 No storage capacity planned due to usage of Inčukalns UGS2) and 1.5 bcm/a
throughput
Paldiski LNG terminal [proposed]
8 Storage capacity of 160,000 to 320,000 cu m and at least 2.5 bcm/a throughput

Tallinn LNG terminal [proposed]

9 Storage capacity of 50,000 to 320,000 cu m and 4 bcm/a throughput

Balticconnector [under development]

10 2.6 bcm/a from Finland to Estonia and vice versa

Klaipeda LNG terminal [operational]

11 Storage capacity of 170,000 cu m and 3.8 bcm/a throughput

1) Publicly available information on reverse flow capacity to Poland varies between 1 to 2 bcm/a
2) 2) Underground gas storage 19
Source: Gaz-system; Roland Berger
 LNG TRANSPORTATION VESSELS IN THE REGION

Seagas Coral Energice

Capacity: 170 m3 Capacity: 18.000 m3
Status: Active Status: Active
2 day voyage from
Klaipeda
Pioneer Knutsen Coral Anthelia
Capacity: 1.100 m3 Capacity: 6.500 m3
Status: Active Status: Active
Shores of
Finland
Coralius TBD
Capacity: 5.800 m3
Haugesund Capacity: 6.000 m3
Status: Active Delivery time: September 2020

Stolt-Nielsen Gas
Stockholm Coral Fungia
Capacity: 7.500 m3 Goteborg Capacity: 9.900 m3
Rosyth Delivery time: May 2019
Delivery time: 2019 Q3

1 day voyage from Klaipėda

Cardissa Coral Favia
Klaipeda Capacity: 9.900 m3
Capacity: 6.500 m3
Status: Active Status: Active

Engie Zeebrugge KAIROS

Capacity: 5.000 m3 Capacity: 7.500 m3
Status: Active Status: Active
Zeebrugge Rotterdam

Shell 7.500 m3 Coral Methane relocated to Tenerife (Spain), meanwhile Gasum 15.600 m3 Coral Energy operates in Gulf of Mexico and Carribean Sea. 20
 REGIONAL BENEFITS OF SMALL SCALE LNG DELIVERY
Supply from Lithuania in 2018
LNG consumption

DELIVERY OF LNG TO OFF-GRID CITIES

LNG as an energy source for heating

LNG as an energy source for households

LNG as an energy source for industrial

companies KN
600 km

LNG AS FUEL FOR TRANSPORT

LNG as ship fuel

LNG as fuel for heavy duty transport

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 AREA OF OPERATION OF LNG FUELLED SHIPS

Area of operation of LNG “Around two-thirds of

fueled ships, % Norway’s LNG-fuelled
marine fleet was
2 subsidized by the
15 23
Norwegian NOx Fund.”
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61

Europe Norway
KN
Asia America
Middle East Global LNG import terminals

LNG import terminals (planned/speculated)

LNG import terminals (ongoing construction) Source: DNV22

GL, OIES
YEARLY DEVELOPMENT OF LNG FUELLED VESSELS

Source: DNV GL, 2019 May

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THANK YOU FOR YOUR ATTENTION