Spanish LNG terminal operator, Enagás, informed the LNGHIVE2 project has been granted funding by the European Commission through its Connecting Europe Facility.

The project aims to boost the use of liquefied natural gas (LNG) as a fuel for maritime and rail transport, with a total investment in the project of around 14 million euros ($15.8 million), of which close to three million euros will be financed by European funds.

The LNGHIVE2 project, coordinated by Enagás is supported by the Spanish Ports Authority and partnered by the Port Authority of Huelva, RENFE Mercancías, ADIF, Saggas, Marflet Marine, and the Valenciaport Foundation.

The project is scheduled to run until 2022 and includes adapting the regasification terminals in Huelva and Sagunto (Valencia) to offer LNG as a fuel.

It also foresees to introduce LNG in a ‘maritime-rail green corridor’ between the Port of Huelva and the ADIF rail terminal in Majarabique, the dry port of Seville.

The project includes building an LNG station in this rail terminal and retrofitting a diesel-hauled locomotive to LNG, Enagás said in a statement.