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Enagas starts final phase of hibernation for Castor UGS (Spain)

Spanish gas transmission network operator Enagas has launched the final phase of hibernation of the Castor underground gas storage (UGS) facility off the Castellon coast (Spain). The hibernation process will place the infrastructure in a situation of maximum safety, with no gas at the platform, in the gasline and at on-land facilities. Enagas has performed preliminary survey of the asset, drawn up the hibernation plan, and in March 2015 launched the hibernation process, which is now being completed. The MIT (Massachusetts Institute of Technology) will now conduct a survey as a basis for the government to take a decision concerning the future of the facility.

The Castor UGS, developed by Escal UGS, ACS and Cobra, was expected to have a working capacity of 1.3 bcm (injection rate of 8 mcm/d and output rate of 25 mcm/d). Initially expected in 2012, it was postponed until 2014 due to low gas demand. Gas filling started in June 2013 but injections were suspended in late September 2013 following a series of minor earthquakes, which were caused by gas injections. In June 2014 Escal UGS decided to abandon the project; the Spanish Government approved a €1.35bn compensation payout to be granted to Escal UGS for the project development and closure.