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Last updated on 15 September 2010
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The history of natural gas 

1930+
Deposits of low calorific value natural gas are found underneath the earth near Frederikshavn in Northern Jutland. They are used locally around the Second World War until the sources dry up. It is also the last utilisation of land-based gas finds in Denmark.

1962
Maersk Oil established. A P Møller is awarded the concession for oil and gas exploration and production in Denmark.

1968
A P Møller finds Tyra, the most important Danish gas field in the North Sea about 200 km west of Esbjerg. The 90 km2 field is located 2,000 m below sea level.

1972
Dansk Naturgas A/S (Danish Natural Gas) is established by the Danish state and changes its name a year later to Dansk Olie og Naturgas A/S (DONG) (Danish Oil and Natural Gas).

1976
DONG investigates the potential for commercial exploitation of natural gas in Denmark.

1979
Dansk Undergrunds Consortium (DUC) on behalf of A P Møller enters into the first natural gas contract with DONG. The first of five regional distribution companies are established.
The municipally owned companies are responsible for selling natural gas to small and medium-sized consumers.

1980
Construction work on the natural gas transmission system begins. The transmission system is the backbone in the Danish market.

1982
German Ruhrgas supplies the first natural gas to DONG in South Jutland where Naturgas Syd begins to develop the Danish market in the region.

1984
DUC supplies the first Danish natural gas from the Tyra field on 1 October. Most of the main natural gas transmission system is completed. DONG sells Danish gas to the regional gas companies and exports gas to the German companies of Ruhrgas and BEB.

1985
DONG exports natural gas to Sweden.

1987
The first Danish underground natural gas storage facility at Lille Torup north of Viborg is inaugurated. DONG and the regional distribution companies agree on natural gas supplies.

1991
Elsam and Elkraft agree with DONG on the supply of 300 million m3 of natural gas a year for the large power stations.

1994
The government withdraws DONG’s exclusive rights to import natural gas as the first step in a process to adapt the Danish natural gas sector to competition in the single European market. The distribution companies and DONG enter into a new sales and collaboration agreement to replace the 1987 agreement. DONG inaugurates its second underground natural gas storage facility at Stenlille north of Sorø on Zealand.

1999
The Siri and Syd Arne gas fields start operation. DONG acquires Naturgas Syd distribution company.

2000
The new Danish Natural Gas Supply Act takes effect and 30 per cent of the Danish natural gas market is open to competition. DONG acquires Naturgas Sjælland distribution company.

2002
DONG and the distribution companies establish Gasmarked2004 to prepare a market model and communications standards before the market opening.

2003
DONG Transmission is hived off as an independent company, Gastra A/S.

2004
The Danish gas market is fully unbundled. Natural gas consumers are free to choose their gas supplier from 1 January, and enterprises may set up as shippers or gas suppliers.

2005
Gastra merges with the electricity transmission operators, Eltra and Elkraft, into
Energinet.dk. DONG Energy and Maersk/DUC establish a direct pipeline from the Danish fields in the North Sea to the Dutch Nogat offshore system to allow gas to be exported to Holland as well.

2006
DONG Energy acquires Elsam and Energi E2. The EU makes it a condition that DONG carry out a so-called gas release, ie auctions off an annual amount of gas worth DKK 400 million and divests Lille Torup gas storage facility to Energinet.dk.

2007
For the first time, the commercial demand for gas imports exceeds the physical export of Danish gas and the result is congestion at the border point (Ellund) towards Germany.

2008
Energinet.dk holds the first auction of the Lille Torup gas storage capacity, which is followed by more auctions from both DONG Energy Gas Storage (Stenlille) and Energinet.dk Gaslager. Energinet.dk and the power exchange Nord Pool Spot establish the gas exchange Nord Pool Gas.

2009
Energinet.dk carries out a so-called open season giving gas market players an opportunity to enter bids for new capacity. This results in a decision to strengthen the gas system towards Germany. 60 per cent of the gas is traded bilaterally at the national GTF point for shippers. 33 gas market players are registered with Energinet.dk. The government adopts ‘Green Growth’, which is to create equal duties and funding terms for biogas production for the gas system and for the CHP system.
In the Open Season 2009, the market players indicate that a looping of the Ellund-Egtved pipeline and a compressor station are of interest for the Danish market.

2010
In January, Climate and Energy Minister Lykke Friis approves the expansion of the natural gas system towards the German border. Denmark’s two largest distribution companies, HNG and Naturgas Midt-Nord, merge into HMN Naturgas on 1 January. An implementation of ‘Green Growth’ is expected in the autumn.

Contact

Dorte G. Kristiansen+4544873366DGK@energinet.dk
Dorte G. Kristiansen

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