Tenerife LNG Terminal

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Tenerife LNG Terminal, also known as Granadilla LNG Terminal, is a cancelled (confirmed) LNG import terminal in Spain.

Location

Table 1: Location details

Name Location Coordinates (WGS 84)
Tenerife LNG Terminal Granadilla de Abona, Santa Cruz de Tenerife, Spain[1] 28.116667, -16.566667 (approximate)

The map below shows the approximate location of the terminal:

Loading map...

Project Details

Table 2: Infrastructure details

mtpa = million tonnes per year
Name Facility type Status Capacity Total terminal capacity Offshore Associated infrastructure
Tenerife LNG Terminal import[2] cancelled (confirmed)[3] 0.96 mtpa[2] 0.96 mtpa False

Table 3: Cost

Name Facility type Cost Total known terminal costs
Tenerife LNG Terminal import[2] US$327,000,000 (300,000,000 EUR)[4] US$327,000,000

Financing

No financing data available.

Table 4: Project timeline

FID = Final Investment Decision, used by some developers to indicate a project will move forward
Name Facility type Status Proposal year FID year Construction year Operating year Inactive year
Tenerife LNG Terminal import[2] cancelled (confirmed)[3] 2008[5] 2008 (FID)[5] [5][5] 2022 (cancelled)[6]

Ownership

Table 5: Ownership

Name Facility type Status Owners Parent companies Operator
Tenerife LNG Terminal import[2] cancelled (confirmed)[3] Enagás SA [100%][1] Enagás SA [100.0%]

Background

In December 2008, Gascan awarded a consortium formed by Tecnicas Reunidas and Acciona a contract on a "lump sum turnkey" basis for the construction of the Tenerife LNG terminal and the Gran Canaria LNG Terminal.[7]

The Tenerife LNG terminal is technically identical to the Gran Canaria LNG Terminal.[8] It is planned to include a storage tank with a capacity of 150,000 m3, three low pressure pumps, three high pressure pumps, two lines of Open Rack Vaporizers and a back-up submerged combustion vaporizer, a flare for emergency discharges, buildings, and a jetty capable to receive LNG carriers with a capacity up to 145,000 m3.[8] The project was expected to cost approximately €300 million.[9] A second, similarly-sized storage tank is planned to be added in a second phase of development.[8]

After development stalled, it was relaunched in 2012 with an expected completion date by the start of 2015 after intervention by Spanish energy minister José Manuel Soria.[10][11]

In November 2014, the port of Tenerife was awarded a €400,000 grant from the European Union to conduct a year-long feasibility study on constructing an LNG bunkering hub.[12]

In 2015 Spain's natural gas grid owner and operator Enagás acquired a 100% stake in Gascan, the terminal's original developer.[13] Previously, Gascan had been jointly owned by Endesa (47.18%), Enagas (41.94%), and Sodecan, a public company owned by the Canary government (10.88%).[14]

In April 2015, the Supreme Court of Spain issued judgment No. 154, resulting in the project construction being halted.[9] The decision upheld an application by local ecologists that argued that the project developers failed to complete a full environmental assessment prior to securing planning permission.[9] The court's decision required Enagás to reinitiate the permitting process for the Tenerife terminal.[13] In July 2016 the project was granted a new favorable Declaration of Economic Impact.[13]

In February 2017, Enagás announced that it still planned to invest €260 million in the Tenerife LNG Terminal.[15] However, in October 2017, Spain's National Commission of Markets and Competition issued a report urging that the plant not be built without further evaluation of its long-term economic viability.[16][17] In March 2018 Spain's Supreme Court dealt a further blow to the project, ruling against an appeal from Enagás and upholding its previous decision that the original 2012 authorization for the plant's construction granted to Gascan by the Ministry of Industry was invalid.[13] Based on statements in subsequent company reports, Enagás appeared to have shelved the project.[18][19] By 2022, the project no longer featured on ENTSOG's Ten Year Network Development Plan database.[20]

In its 2024 Annual Report, Enagás confirmed that in 2022, the project received its final strike down from the Spanish High Court of Justice. The company filed for an asset liability claim in order to recover costs already incurred on the project.[21]

Opposition to LNG terminals in Spain

Opposition groups have cited the low utilization rates among Spain's LNG terminals to call into question the necessity of such extensive LNG infrastructure. According to Food and Water Europe in 2019 (prior to the re-opening of El Musel LNG Terminal), "Since 2008, all LNG terminals (except for Mugardos) have been expanded and the total regasification capacity has increased by 8%, despite a decline in gas demand...even though the utilisation rate of Spain’s LNG regasification capacity was at only ~23% on average between January 2012 and March 2019, same as the low EU average during the same time period! The need to have so much LNG regasification capacity is questionable and best illustrated with the El Musel LNG Terminal (7bcm/y and a 300,000m³ storage capacity) which was completed in 2012 and then directly put into 'hibernation', 'until demand picks up'. The terminal has not been used since then. Despite large underutilization, Spain was the 5th biggest LNG importer with the 5th biggest liquefaction capacities worldwide in 2018, and for both cases number 1 in Europe (followed by France). Since at least 2016, Spain repeatedly imported cargoes of fracked US gas through its LNG terminals."[22]

Articles and Resources

Additional data

To access additional data, including an interactive map of LNG terminals, a downloadable dataset, and summary data, please visit the Global Gas Infrastructure Tracker on the Global Energy Monitor website.

References

  1. 1.0 1.1 https://www.enagas.es/es/sala-comunicacion/actualidad/notas-prensa/2011-09-16_gascan/. {{cite web}}: Missing or empty |title= (help)
  2. 2.0 2.1 2.2 2.3 2.4 https://www.gie.eu/download/maps/2019/GIE_LNG_Map_Database_May_2019_v3.xlsx. {{cite web}}: Missing or empty |title= (help)
  3. 3.0 3.1 3.2 (PDF) https://www.enagas.es/content/dam/enagas/en/files/enagas-communication-room/publications/informe-anual/Annual-Report-2024-Enagas.pdf. {{cite web}}: Missing or empty |title= (help)
  4. https://web.archive.org/web/20150423130419/https://www.islandconnections.eu/1000003/1000009/0/45140/tenerife-article.html. {{cite web}}: Missing or empty |title= (help)
  5. 5.0 5.1 5.2 5.3 https://www.entsog.eu/tyndp. {{cite web}}: Missing or empty |title= (help)
  6. (PDF) https://www.enagas.es/content/dam/enagas/en/files/enagas-communication-room/publications/informe-anual/Annual-Report-2024-Enagas.pdf https://www.enagas.es/content/dam/enagas/en/files/enagas-communication-room/publications/informe-anual/Annual-Report-2024-Enagas.pdf; https://www.enagas.es/content/dam/enagas/en/files/enagas-communication-room/publications/informe-anual/Annual-Report-2024-Enagas.pdf. {{cite web}}: Check |url= value (help); Missing or empty |title= (help)
  7. [http://bit.ly/2xy8XXu The consortium formed by TECNICAS REUNIDAS – ACCIONA has been awarded two LNG terminal projects in Gran Canaria and Tenerife,] Tecnicas Reunidas, 17 Dec. 2008
  8. 8.0 8.1 8.2 Projects, Gascan, accessed August 2017
  9. 9.0 9.1 9.2 Cite error: Invalid <ref> tag; no text was provided for refs named tenerife
  10. Spanish energy minister backs Canary Islands LNG terminals, ICIS, 12 Jan. 2012
  11. Spain's Tenerife LNG terminal ready by 2014 – Enagás CEO, ICIS, 7 Feb. 2012
  12. EU grant a boost to Tenerife ambitions to become top regional box shipping hub, The Load Star, 12 Nov. 2014.
  13. 13.0 13.1 13.2 13.3 "La regasificadora de Granadilla, atascada en Madrid". ABC. 2018-03-08.{{cite web}}: CS1 maint: url-status (link)
  14. "Enagas to buy share of Canary LNG terminal operator". Oil & Gas Journal. September 20, 2011.{{cite web}}: CS1 maint: url-status (link)
  15. Enagás plans to invest 260 million euros in the Tenerife terminal, Eldia, 14 Feb. 2017
  16. "CNMC no ve conveniente autorizar la regasificadora de Granadilla en Tenerife". La Vanguardia. October 13, 2017.{{cite web}}: CS1 maint: url-status (link)
  17. "La CNMC se opone a la construcción de la regasificadora de Granadilla en Tenerife". El Periodico de la Energía (in español). October 13, 2017.{{cite web}}: CS1 maint: url-status (link)
  18. "Consolidated Annual Accounts 2019 (p 27)" (PDF). Enagás. January 2020.{{cite web}}: CS1 maint: url-status (link)
  19. "Interim Condensed Consolidated Financial Statements 2020 (p 26)" (PDF). Enagás. June 30, 2020.{{cite web}}: CS1 maint: url-status (link)
  20. "TYNDP | ENTSOG". www.entsog.eu. Retrieved 2025-06-18.
  21. "Annual Report 2024" (PDF). Enagas. 2025-03-14. Retrieved 2025-06-18.{{cite web}}: CS1 maint: url-status (link)
  22. Spain Food and Water Europe, accessed December 6, 2019