New nitrogen plant Zuidbroek later in production

Due to the exceptional market circumstances, there is a lot of uncertainty about various parameters that could influence gas extraction from the Groningen field. Therefore, GTS has described the impact of changing planning principles in her advice to the State Secretary. The invasion of Ukraine by Russia and the pending gas-shortage has resulted in high gas prices. Because of this, we note a decrease in gas demand. The desire to become independent of Russian gas results in a historic high supply of LNG. This gas has a higher so called Wobbe-index than Russian gas, which means that with the same amount of nitrogen less pseudo-G-gas can be produced. Both factors influence the necessary Groningen production for security of supply.

Due to all these uncertainties, GTS advices to review the allowed production from the Groningen field in September this year to take into account the marked developments and circumstances during the gas year.

The new nitrogen plant Zuidbroek plays an important role in establishing the earliest possible closure date of the Groningen field. The plant will start producing in September, but this requires great effort and a constructive collaboration between the contractor and his subcontractors. We regret that all extra efforts and investments were not enough to prevent the setback.