Swedegas has decided to invest in new LNG infrastructure at the Port of Gothenburg in Sweden, in order to address the need for a more environmentally friendly fuel in the shipping industry.

The facility is reportedly set to be the first of its kind in Gothenburg, and will enable vessels to bunker LNG at the quayside during loading and unloading.

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The service is expected to become completely operational by next year.

Swedegas chief executive Johan Zettergren said: “This investment marks the starting point for the gradual expansion of the facility, eventually supplying the transport sector and Swedish industry with liquefied gas.

“Regardless of the sector, it ultimately comes down to making the transition from oil-based products.”

"This investment marks the starting point for the gradual expansion of the facility, eventually supplying the transport sector and Swedish industry with liquefied gas."

LNG is a clean marine fuel that is increasingly being used as an alternative to heavy oil and diesel. The demand for LNG is currently increasing due to the strict emission controls.

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The use of LNG as a fuel reduces emissions of sulphur, particles and heavy metals by 80%, and reduces carbon dioxide emissions by 25%.

The port facility will feature a discharge station, a cryogenic pipeline and bunkering equipment to enable vessels to bunker LNG at the quayside, thereby streamlining the bunkering process.

LNG will be transported to the facility using trailers or containers, and will then be distributed through a 450m vacuum-insulated cryogenic pipeline to the quays in the Skarvik area at the Energy Port.

Swedegas noted that the company designed the concept by consulting the key figures within the industry.