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Mahart to call tender for LNG terminal on Danube

Hungarian shipping company Mahart Zrt. will soon call a public procurement tender for the construction of a HUF 2.2 billion liquefied natural gas (LNG) terminal at the Port of Csepel on the Danube in the south of Budapest, business daily Világgazdaság reported on Monday.   

The terminal will be accessible to trains and trucks, as well as ships, by the end of 2019, said CEO Szávó Sztilkovics.  The investment is supported by European Union and state funding.

The terminal is to be built on a peninsula at the entrance channel to the Csepel facility, allowing easy approach for both ships and road vehicles, as well as rail access. The aim is to comply with the European Union goal to reduce diesel-driven transport and increase traffic of environmentally friendlier gas-powered vehicles.

The EU has provided targeted funds to promote the transformation, so that the Csepel LNG terminal will be 85% covered from EU funds, as part of the HUF 1 trillion total available to Hungary under the Connecting Europe Facility (CEF) funding program. Under this program, the Hungarian state is mostly financing rail and road projects that are especially important in the context of EU transport policy, noted Világgazdaság.

Two large LNG containers housed on a floating platform - from which ships at the port will be able to fill up with LNG - will be linked to two more containers on land, allowing trucks to tank up with either LNG or compressed natural gas (CNG).

The report noted that this is the first time such technology will be installed in Hungary. Similar projects are in progress on the Danube stretch at Vienna and in Germany, while a similar terminal already operates at Ruse in Bulgaria. In Constanța, Romania, parallel sea and river LNG terminals are planned, likewise from EU resources.