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Snam, VTTI finalize deal for majority stake in Italy’s Adriatic LNG terminal

Economy Materials 3 December 2024 18:59 (UTC +04:00)
Snam, VTTI finalize deal for majority stake in Italy’s Adriatic LNG terminal
Maryana Ahmadova
Maryana Ahmadova
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BAKU, Azerbaijan, December 3. VTTI and Snam have completed their acquisition of shares in Terminale GNL Adriatico S.r.l. (Adriatic LNG), Italy's largest liquefied natural gas (LNG) regasification terminal, Trend reports.

The agreement, first announced in April 2024, saw VTTI acquire a majority stake in Adriatic LNG, while Snam exercised its pre-emption right to increase its share from 7.3% to 30%. With this deal now finalized, VTTI owns 70% and Snam holds 30% of the company. Regulatory approvals were completed ahead of the transaction’s closure.

VTTI's CEO, Guy Moeyens, commented: “This acquisition supports our strategy to facilitate the global energy transition and ensure secure energy supply. Together with Snam, we are committed to enhancing infrastructure that will strengthen Italy's and Europe's energy security.”

Snam's CEO, Stefano Venier, emphasized the importance of the deal for Italy’s energy supply diversification: “This 30% stake and our operational role in Adriatic LNG further solidify our position as a key player in Europe’s LNG sector.”

The transaction aligns with VTTI's long-term strategy to expand into renewable energy and sustainable infrastructure, targeting 50% of its earnings from transitional and sustainable sources by 2028. Adriatic LNG marks VTTI’s second stake in an LNG regasification terminal, following their acquisition of a 50% stake in Dragon LNG in the UK.

The deal also strengthens Snam's LNG portfolio, where the company now plays a significant role in Italy’s regasification capacity, accounting for 25% of Italy's gas consumption through LNG. This includes major stakes in several LNG terminals, including Panigaglia, OLT FSRU Toscana, and FSRU Italis LNG.

In the first 11 months of 2024, Adriatic LNG injected over 8 billion cubic meters of natural gas into Italy’s grid, representing 15% of national consumption and reinforcing its role as a crucial energy source for the country.

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