Skanled Explained

Skanled
Type:natural gas
Country:Norway
Sweden
Denmark
Direction:north–south
Start:Kårstø, Norway
Through:Rafnes
Lysekil
Vallby Kile
Bua
Finish:Jutland, Denmark
Owner:Skanled Project Group
Partners:Petoro
Skagerak Energi
E.ON Ruhrgas
PGNiG
Energinet.dk
VNG - Verbundnetz Gas AG
Gasunie
Göteborg Energi
Operator:Gassco
Expected:suspended
Discharge:7 billion cubic meter per year

Skanled was a planned natural gas offshore pipeline connecting Norway to Sweden and Denmark.

Technical features

The submarine pipeline was to start in the Kårstø natural gas processing plant in western Norway, where it was to be connected with the Europipe II. It was to be run to eastern Norway, western Sweden and Denmark with exit points in Rafnes (Norway), Lysekil, Vallby Kile, Bua (Sweden) and Jutland (Denmark).[1] It consist of:

As part of the project, the pipeline was to transport also ethane, which would injected into the natural gas at Kårstø and transported with the natural gas to Rafnes, where it would separated and extracted from the gas. The separation facilities at Rafnes and the installations downstream the reduction stations in Sweden and Denmark were not part of the project.[2]

The originally planned capacity of the pipeline was 6 billion cubic meter (bcm) of natural gas per year. The plans were upgraded to 7 bcm. The likelihood of greater future demand from Denmark and Poland, which plan to connect Skanled through Denmark with other planned pipeline, the Baltic Pipe between Denmark and Poland, may lead to widen the diameter of the pipe from the initial design.[3]

The pipeline was to be operational by October 2012.[4] It was designed for 50 years of operation.[2] It expected to cost 10 billion Norwegian kroner.[4]

Suspension

The final investment decision depended on decisions by Yara International and Ineos, major potential consumers of gas provided by Skanled. In April 2009, the Skanled Project Group announced that they had decided to suspend the project "due to increased commercial risk combined with the global economic developments that have given an uncertain view on future gas demand."[5]

Contractors

The IKM Gruppen was selected for design activities related to the pipeline system with associated subsea structures, landfalls, and receiving and metering stations.[4]

Project company

The project was developed by the Skanled Project Group. Shareholders of the consortium were:

Gasunie accepted the invitation to join the project to replace Swedegas and, in part, Göteborg Energi in the consortium.[8] [9]

The project was managed by Gassco with Swedegas and Energinet.dk participating as partners.[2] The Skanled project director is Thor Otto Lohne.[10]

Notes and References

  1. News: . Rigzone . Polish Oil and Gas Company Joins SKANLED Consortium . 2007-06-22 . 2007-09-15.
  2. Web site: . Information concerning the planning of Skanled gas pipeline . June 2007 . 2007-09-15 . https://web.archive.org/web/20070630054604/http://www.energinet.dk/NR/rdonlyres/E7D26121-FE5C-46C9-9DCB-7BE95E65CD38/0/TheSkanledgaspipelineprojectsummaryver_02_250607.pdf . 2007-06-30.
  3. News: Downstream Today . Expansion Likely on Norway-Denmark Gas Pipeline . . James . Herron . 2007-09-07 . 2007-09-15.
  4. News: Gassco . Skanled contract for IKM Gruppen . 2008-08-07 . 2009-03-21 . 2012-02-18 . https://web.archive.org/web/20120218140241/http://www.yourindustrynews.com/news_item.php?newsID=8813 . dead .
  5. Skanled project suspended . The Skanled Project Group . 2009-04-29 . 2009-11-05.
  6. News: Downstream Today . Norway's Petoro Taking Up To 30% In Skanled . . 2009-02-13 . 2009-03-21.
  7. News: Downstream Today . Reuters . Wojciech . Moskwa . Norway Gas Pipeline Plan Hit By Yara Pullout . 2009-03-17 . 2009-03-21.
  8. News: Dutch Gasunie joins Skanled pipeline project . Reuters . Wojciech . Moskwa . 2009-03-17 . 2009-03-21.
  9. News: Skanled Group invites Gasunie to aid in Skanled project investment decision . . Offshore . 2009-03-19 . 2010-10-10.
  10. News: Ineos doubts risk Norway gas pipeline plans-paper . Wojciech Moskwa . Forbes . 2009-01-05 . 2009-03-21.