55/5000 In Livorno, socio-economic and employment opportunities

Expected an impact of 400 million € over next 20 years

Under the Memorandum of Understanding signed between the OLT and the Region of Tuscany for the construction of a regasification plant in Livorno it was signed today the agreement among the OLT Offshore LNG Toscana, the city of Pisa and Pisa municipality for the reopening of the Incile Canal, a link between the Arno and the Navicelli Canal, which will restore the navigability from the center of Pisa to the port of Livorno.

Livorno can count on the greatest economic social and environmental benefits. The direct and indirect investments that the company will concentrate on the Livorno area will produce an estimated economic impact, to date, for about € 400 million over the next twenty years of plant life, this is the time span of the existing Convention between the OLT and the municipality of Livorno.

In detail, this amount is related to activities ranging from the management and maintenance of the terminal, its supervision, the direct employment, via other ancillary and environmental protection services. To this purpose OLT commissioned local industry associations, Confindustria and CNA / APIs, to make a pre-qualification of local companies.

Management and maintenance of the Terminal:  360 million €

OLT will rely on local management for the ordinary and extraordinary maintenance of the terminal (20 years total operating for approximately 18 million € / year).

In particular, many local companies specialized in the fields of repair, maintenance, purchasing, inventory and transportation will be responsible for organizing and running activities for the ordinary and extraordinary maintenance of the terminal. The work will be prepared on the ground and completed on-board terminal.

Other companies are then involved for maintenance of tankers used to supply the terminal (eg jobs hull, propulsion system, inspection and certification, etc..).

Other activities related to the lifecycle of the plant: 10 million €

For carrying out activities related to the plant lifecycle, including the catering service for the terminal and LNG carriers and service crew boat, OLT has signed a service contract which includes the supply of services above from the start of the activity. The effects expected are of approximately 500 000 € / year.

Surveillance of the terminal by a ship guardian: 50 million €

OLT has signed a service contract for the supply of security service starting from the beginning of the activities. The effects expected are of approximately 2.5 million € / year.

Service tugs for mooring LNG terminal:

This contract provides for shipping agency services and piloting for the 50 lightening operations expected for each year of activity with a relapse yet to be determined.

Direct and indirect employment

OLT will employ 20/25 people, 9 of which have already been hired in the area of Livorno, for the ground office of OLT. 60/70 people, however, will be used by ECOS, the terminal management company both on board and on land office, and about 27 persons through the company F.lli Neri for crafts at service of the Terminal .

Further economic impact on the territory:

Tax revenue in favor of local governments (regions and municipalities), deriving from the additional municipal and regional personal income tax charged on residents employees; Tax revenue in favor of the Tuscany Region deriving from IRAP tax; tax revenue in favor of Tuscany Region deriving from additional regional excise tax on gas; tax revenue in favor of the Port of Livorno for land grant, port dues due by each LNG ship berth at the FSRU.

Marine Environmental Monitoring: 16 million €

A twenty-year monitoring program, developed by Consortium for Marine Biology and Applied Ecology University Center (CIBM) of Livorno for the realization of marine, chemical-physical surveys, to the value of about 800 000 € / year for 20 years.