Dutch gas conversion site delayed

Construction of the Netherlands‘ new gas quality conversion site in Zuidbroek will be completed later than previously planned, which may reduce the country's import demand next spring.

The facility will enter operations "in phases" next summer, the economy ministry said today. It had previously been expected to come on line by 1 April 2022.

The delay is because of social distancing measures that were implemented to limit the spread of Covid-19, the ministry said. These delayed works and the supply of material, it said.

The Zuidbroek facility is one of the key measures in the government's plan to phase out production from the giant Groningen field, which has been linked to seismic activity. The site could allow for an additional 7bn m³/yr of low-calorie gas to be produced by adding nitrogen to high-calorie supply.

The ministry has asked system operator GTS to establish "as soon as possible" whether the delay means that production from Groningen will have to be higher this gas year than previously anticipated. The operator had previously said that a delay may result in an extra 1.3bn-3.6bn m³ of output being required.

As the facility is still expected to enter operations this gas year, Groningen production could in any case be reduced to the minimum required to keep well clusters operational from the 2022-23 gas year onwards, the ministry said today.

It was previously expected that the field could be put on standby by next summer. The 2021-22 Groningen output plan foresees that production of 3.9bn m³ would be allowed over the gas year if heating degree days this winter are in line with an average year. Some 800mn m³ was expected to be produced next summer when the field was to be put on standby.

Higher Groningen production early next summer because of less conversion capacity would in turn reduce the Netherlands' need for high-calorie imports.

By Stefan Krümpelmann