Gasunie: main contractor nitrogen plant Zuidbroek terminates contract with Ballast Nedam

The main contractor responsible for the construction of the nitrogen plant at Zuidbroek has terminated the contract with subcontractor Ballast Nedam. Gasunie, the company that put the construction out to tender, was told this weekend.

“The construction of the nitrogen plant at Zuidbroek is almost complete (97%). Air Products has promised Gasunie to come up with a plan within a week to complete the work with new and existing subcontractors,” reports Gasunie. It was not said what caused the termination of the contract.

The government company says it regrets the course of events and urges the parties to ensure that the delay in the construction of the factory does not increase further. The installation – which uses nitrogen to make foreign gas suitable for our heating boilers and stoves – should be ready in April last year.

According to Gasunie, this development also does not mean that more gas has to be extracted from the Groningen field. Any shortage can be borne by the import of liquefied natural gas (LNG) and lower gas consumption.

Protest at the gates of the factory

Subcontractor Ballast Nedam previously announced that their workers had been denied access to the construction site. At that time there was no question of unilateral termination of the contract. Ballast Nedam is one of 30 subcontractors on the project.

The companies blame each other for setbacks in the construction and were in court in December in summary proceedings. It stipulated that the work had to be completed before claims could be made on both sides. Subsequently, Air Products decided to no longer allow Ballast Nedam access to the construction site.

A few hundred employees of Ballast Nedam and other subcontractors intend to stand in front of the nitrogen factory gate on Monday. “People report to resume work and to finish the nitrogen plant,” a spokesperson explains.

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