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T
he project was intended to create small scale
LNG infrastructure and establish the port
of Klaipeda as an LNG hub for the Baltic
region and northeastern Poland by creating a sin-
gle value chain from LNG delivered from a float-
ing storage and regasification unit (FSRU).
Background
The facility at Klaipeda in Lithuania is the latest
to demonstrate the economic and technological
viability of small scale LNG storage and distri-
bution (see Figure 1). Although unable to provide
the same economies of scale of the megatermi-
nals, such as those in Rotterdam and Barcelona,
which have daily LNG volumes measured in hun-
dreds of thousands of cubic metres, small-scale
terminals can be built at a fraction of the cost,
within a much shorter time frame and provide
operational flexibility. This creates an attractive
business model for terminal operators and own-
ers to quickly address the growing demand for
LNG as a fuel for transportation and energy and
take advantage of new supply, particularly North
American shale.