Baltic LNG - History

History

Preparations of the Baltic LNG project started in 2004. On 15 October 2004, Baltic LNG AG was registered in Baar, Switzerland (later in Zürich) as a joint venture of Gazprom and Sovkomflot. In 2005, Gazprom started to negotiate with Petro-Canada to construct the LNG plant and to conclude a supply agreement for LNG shipments to Canadian market. On 14 March 2006, Gazprom and Petro-Canada signed an agreement to proceed with initial engineering design of the Baltic LNG plant. It was agreed to ship LNG from the Baltic LNG plant to Petro-Canada's LNG regasification facility in Gros-Cacouna, Quebec.

In 2006, Gazprom started to look for other markets and partners inviting 17 energy companies from Europe, Asia and North America for negotiations. On 21 September 2007, Gazprom decided to continue work on the feasibility study, leaving it unclear when it would make a final decision whether to build the plant. On 7 February 2008, Gazprom terminated the project because it considered the Baltic LNG plant less competitive than other projects in the region — the Nord Stream pipeline and the possible LNG facility of the Shtokman field.