Germany seeks partners to sub-charter LNG terminals

Germany is looking for partners to share some of its floating liquefied natural gas (LNG) terminals. This comes after recent contract disputes led to cancellations of two agreements. A spokesperson from the economy ministry stated that discussions are ongoing about sub-renting the ships if they are no longer needed. The contracts were initially signed in 2022 for a ten-year period. However, the spokesperson emphasized that it was never a guarantee these ships would be used for the entire duration. Germany has been rapidly constructing LNG terminals to address its energy crisis. However, recent issues with two ships, intended for its Baltic and North Sea coasts, show that the rollout has not gone smoothly. The latest problem is with the Stade LNG terminal near Hamburg. The operator and the project developer have accused each other of breaking contract terms. The operator, Deutsche Energy Terminal GmbH, has ended its contract with Hanseatic Energy Hub GmbH. This project is still being built and has not yet started importing gas. This incident is the second contract fallout in just two months. Recently, one vessel, "Energos Force," ended its charter after a pricing disagreement and is currently anchored off the coast of Denmark. Throughout Europe, many LNG terminals set up after the energy crisis are encountering challenges. France's newest terminal, established by TotalEnergies SE in 2023, has not received any cargoes since June, despite high demand for gas.