Under the terms of the deal, the partners will assess the feasibility for building a gas network capable of providing access to biogas for customers while strengthening regional development.

The project involves development of a storage facility for liquefied natural gas (LNG) at the Port of Åhus as well as an isolated regional gas network for biogas and natural gas.

E.on Gas CEO Tina Helin said: "Our aim is to offer competitive energy gas solutions to as many customers as possible.

"With a regional gas network we can create a potential for renewable transport solutions and at the same time reach customers who would otherwise not be able to connect to a gas network."

The Port of Åhus CEO Fredrik Åsare said: "The Port of Åhus has an important role to play when it comes to increasing the competitiveness of the companies that are established in the port area.

"A gas network and an associated LNG storage facility would certainly have such an effect."

Swedegas CEO Lars Gustafsson said: "This project is entirely in line with our undertaking to create new opportunities for biogas and LNG within smart energy systems, allowing biogas producers to reach a wider market, for industry to make environmental gains and for there to be greater scope to build filling stations to support the expansion of more eco-friendly transport."

The firms are scheduled to complete the joint enquiry into the preconditions for establishing a gas distribution network in December.

Swedegas, which is the national Transmission System Operator for the Swedish gas grid, was acquired by Spanish and Belgian gas transmission companies Enagás and Fluxys from EQT Infrastructure in March.