Swiss Company to start Albanian Energy Project next year

TIRANA, Dec.12 – The Swiss-based international consortium ASG Power will prepare the field for the construction of a gas and power project in southwestern Albania by the end of February. The total cost of the enterprise is estimated to reach up to $1.9 billion (1.4 billion euro). The news was given on Tuesday by the representative of the consortium’s local unit ASG Power Albania, Alban Bala. Bala said that the company ids waiting for the Albanian national territory regulator KKRRTSH to issue an approval for the site where the complex will be built. This permit is due on December 20. Upon getting the green light from the Albanian government, within two months from the approval date, the company plans to start preparation of the land lot, according to Bala’s statement.
The project includes a liquefied natural gas (LNG) regasification plant, a 1,200 MW combined cycle power plant and the necessary land and maritime infrastructure in Fier. It will be implemented by ASG Power Albania which was set up this summer. The idea of the project was initiated in May 2004 while the Albanian government approved a feasibility study for the project in November of this year. The regasification unit has raised interest from many European and even American firms, according to Bala. This is due to its future activity which is will be to process gas shipped from North Africa with an annual capacity of 10 billion cubic meters.
The power plant will be connected with Italy by a underwater gas pipeline that will transport eight billion cubic meters while the rest (two billion cubic meters) will be used for domestic consumption. “Swiss utility AET is part of the consortium. The consortium will employ 3,500 people for the construction phase due within 18 months and 350 people at constant jobs in the operation phase. By the start of 2009 we expect to operate at full swing,” Bala said.