Energy company Fluxys has revealed that it will partner with investor EIG to jointly acquire an 80% stake in Chile’s largest liquefied natural gas (LNG) regasification terminal, GNL Quintero S.A. (Quintero).

Announced yesterday (March 28th), the investment aims to accelerate Chile’s decarbonisation strategy using LNG as a bridging fuel between fossil-based fuels and renewable hydrogen. 

The terminal – operational since 2009 – owns 75% of the country’s LNG regasification capacity, realised through a daily regasification capacity of 15m m3 (15 million cubic metres). 

In 2021, 67% of the country’s total natural gas imports arrived through the terminal, which boasts an LNG storage capacity of 334,000m3 and 2,500m3 per day of truck loading capacity. 

The venture expands EIG’s renewable energy ambitions in Chile, in addition to providing Fluxys with the opportunity to create a foothold in a country that prioritises the energy transition. 

Commenting on the agreement, R. Blair Thomas, Chairman, CEO, EIG, said, “Quintero’s strong presence in natural gas infrastructure serves as an attractive launching point to expand its presence in related and adjacent sectors, including storage, truck loading, and regasification as well as to develop production capacity for green hydrogen.” 

Quintero’s focus on green hydrogen is part of Chile’s plan to become one of the world’s three largest green hydrogen producers with an intent to install 200 GW (gigawatts) of renewable power by 2040 to produce green hydrogen.

Due to close in the second half of this year, the transaction is still subject to customary closing conditions.