The terminal will act as both an import facility to service the accelerating demand for HVO renewable fuel in Ireland, and a blending/export facility to enable the collection and use of renewable fuels overseas.
The terminal investment is the next stage in the GBF's rapid growth and increased distribution of its flagship product, Gd+ HVO. GBF has supplied in excess of 200 million litres of Gd+ HVO to the UK over the past year covering different sectors, including construction, logistics and marine industries.
Ireland's Climate Action Plan follows the Climate Act 2021 and commits Ireland to a legally binding target of net-zero greenhouse gas emissions no later than 2050, with a reduction of 51% by 2030.
The brownfield site identified for investment by GBF repurposes a previous development that has sat idle for over 10 years and serves as a springboard for Ireland's ambitions to decarbonize, cut emissions and create a cleaner economy. This investment also provides the Cork Harbour economic area with a much-welcomed boost to job opportunities and trade activities.
Magnus Hammick, COO, GBF, said, "We are really excited about this project and constructing the first low-carbon fuel terminal in Ireland in support of its Climate Action plan. We are committed to making a difference in every possible situation, and the low-carbon fuel terminal will allow us to expand our supply and grant our customers the ability to make a positive change by significantly reducing their carbon emissions and improving local air quality by using our drop-in replacement fuels. No capex or infrastructure a simple switch from Diesel to Gd+ HVO."
GBF will initially use 38 million litres of the overall terminal capacity for Gd+ HVO fuel, which equates to a potential lifecycle CO2e emissions saving of over 100,000 tons on each tank refill cycle compared to conventional diesel fuel. 2 GBF aims to grow the capacity of the facility to hold a total of 53 million litres.
In 2021 Ireland imported just over 8 million litres in total of this advanced biofuel. Effectively GBF is substantially increasing the security of supply of Gd+ HVO in the UK and Atlantic basin markets in line with exponential growth in global production expected in the next five years.
The renovation of the facility will be done in three phases, intended to allow the terminal to be commissioned and started up as quickly and efficiently as possible. GBF took ownership of the facility in the second half of 2022, with a third-party operator to be announced in due course for running and maintaining the terminal.
The Port of Cork is the world's second-largest natural harbour and is a key international gateway for trade. The jetty formerly owned by a large Chemical Corporation, which sits west of Haulbowline Island and serves the bulk liquid storage facility has a single berth of 259m in length. The terminal can receive a broad range of vessels and hence provides numerous options for bulk liquid movements, as well as keeping shipping costs competitive.
GBF is completing the renovation works to the Gt1 terminal in Cork Harbour, which will be fully operational before the end of Q1 2023.