Hopes pinned on giant gas project (From Western Telegraph)

Hopes pinned on giant gas project

A MULTI-MILLION pound project could be on the cards for the former Gulf oil refinery at Waterston.

The board of the Dutch-owned company Petroplus, which owns the site, gave the go-ahead last week for a feasibility study into the storage of natural liquefied gas.

If this proves viable it could lead to the development of new tanks, upgrading of the jetty and possibly a new power station and gas pipeline to the UK gas grid.

Petroplus currently uses Waterston as a terminal for the storage of crude oil and petroleum products, on behalf of oil companies and traders. There is already a gas-fired power and electricity co-generating plant on the site, but this was shut down a year ago as uneconomical.

There was speculation that Petroplus might be interested in the former Esso refinery and Pembroke Power Station sites, but this was denied by a spokesperson. Instead, the company is more likely to concentrate any development on Waterston.

If the project does go ahead, it will provide a considerable number of jobs during construction and also increase the number of permanent posts at Petroplus.

David Thomas, head of communications for Pembrokeshire County Council, said: We are aware of Petroplus plans and have met them to discuss the possible proposals. We would certainly welcome any planning application of this sort, but would obviously have to look at it in considerable detail.

Most natural liquefied gas is produced in the Middle East and West Africa and would be transported at minus 160 degrees centigrade to the Milford Haven Waterway in specially constructed double-hull refrigerated tankers. This, say experts, would avoid the recurrence of a Sea Empress type disaster.

Petroplus could also benefit if Marathon Oil strikes a major natural gas field when it re-starts oil exploration in the Irish Sea next year.