Snam Eyes Acquisition of Higas LNG Terminal, Plans Conversion to Sardinia FSRU

Snam signed an exclusivity deal to acquire Higas and convert its Oristano LNG terminal in Sardinia into a floating storage and regasification unit (FSRU), expanding gas supply and supporting Sardinia’s methanization plans.

(P&GJ) — Italian energy infrastructure operator Snam has signed an exclusivity agreement with the shareholders of Higas, owner of the LNG coastal storage terminal in Oristano, Sardinia, to evaluate a full acquisition and the facility’s potential conversion into a floating storage and regasification unit (FSRU).

Under the agreement, Snam will conduct a detailed assessment and negotiate the possible purchase of 100% of Higas’s share capital, along with plans to expand and repurpose the site to support regional gas demand.

If completed, the transaction would allow regasified LNG from the future Oristano FSRU to feed into a planned natural gas transmission network serving industrial and power-generation hubs in central and southern Sardinia, including the provinces of Cagliari, Oristano, Medio Campidano, and Sulcis Iglesiente.

Snam said the new FSRU would play a key role in Sardinia’s methanization effort, increasing storage capacity by about tenfold compared to the existing coastal facility and enhancing the island’s energy security and supply flexibility.