Building work is on track for the first gas to be pumped into Britain through a new import terminal in Wales in the fourth quarter this year, the companies behind the projects said.

The pipeline needed to carry gas from two new liquefied natural gas (LNG) terminals nearing completion at Milford Haven to the rest of Britain should be ready by the end of October, a spokeswoman for network operator National Grid said.

"The pipeline is due for commissioning this autumn, at the end of October," she said.

But planning objections over part of the project to take gas from South Wales to the rest of Britain mean it will not be able to flow gas at full capacity this winter.

But the delay to the pressure reduction station, which is now being built after the objections were overruled, will not have a large impact on capacity, the spokeswoman said.

One of the two projects the pipeline is designed to transport gas for will not be ready until next year anyway.

Two LNG terminals are being built at Milford Haven as gas companies respond to strong demand for the fuel that keeps most British homes warm in winter, feeds many of its power stations and is used to cook its meals.

The Dragon LNG terminal, operated by BG Group together with Malaysia's Petronas, is expected to open late this year, around the time the pipeline will be ready, while the South Hook project is not expected to be ready until 2008.

"Dragon is still on schedule for Q4 2007," a spokesman for BG.L said, declining to be more specific.

LNG is natural gas cooled in the producing country into a liquid before being shipped to consumers, where it is warmed to gaseous form again before being pumped into the gas network.

Because it is transported in tankers rather than fixed subsea pipelines, supplies can be bought from anywhere in the world, making it attractive to countries concerned about being over-dependent on one supplier.

(C) 2007 Birmingham Post. via ProQuest Information and Learning Company; All Rights Reserved

Related Project
Dragon LNG
Facility Type: LNG Owner: Dragon LNG (BG Group, 50%; Petronas, 30%; 4Gas, 20%)
Scope: New Construction Location: Waterson United Kingdom