petroleum deals

The European Union has contributed $498,000 to the Port of Santa Cruz de Tenerife in the Canary Islands, to conduct a feasibility study to determine if the port can be developed into a centre point for Liquefied Natural Gas (LNG), the Load star reported.

According to Airam Diaz Pastor, the port director, the vision for the seaport is to become the nervous system for trans-African shipment and a healthy competitor with existing ports.

Ghana is currently planning to expand its industrial hub, the Port of Tema, a renovation estimated at US$1.5 billion, making it the largest trade port in West Africa.

These port projects could begin to reap the benefits when they take advantage of the LNG-ready ships which are currently under construction, creating a strong LNG transport line for future cross-border trade.

‘Current plans will also see the construction of a deep sea transhipment box terminal’, Pastor said.

The study will identify the market for gas in the Canary Islands, if it will reduce the current cost of electricity and the island’s dependency on oil.

Price of Oil

With oil prices fluctuating between $55 and $65 in recent weeks and talks of the prices remaining low, the question of integrating gas into the energy mix as a cheaper alternative has never been more relevant.