ExxonMobil and QP acquire 90% stake in Italian LNG terminal
Exxon Mobil Corporation and Qatar Petroleum (QP) have acquired a 90 percent interest in the Edison Gas North Adriatic Liquefied Natural Gas (LNG) Terminal Project located offshore the northern coast of Italy.
In addition, the Ras Laffan Liquefied Natural Gas Company Limited II (RasGas II) and Edison Gas of Italy signed amended Sale and Purchase Agreements to increase LNG supplies from the initially agreed level of 3.5 million tons annually to 4.7 million tons per year of LNG, commencing in 2007.
The Terminal Agreements provide for a 90 percent interest for QP and ExxonMobil, while Edison Gas will maintain a 10 percent share. QP and ExxonMobil's shares will be equally divided between the two companies, which will each own a 45 percent share of the terminal equity.
The gas for this project will be sourced from Qatar's giant North Field, which has recoverable resources of more than 900 trillion cubic feet of gas.
The agreements cover the development of an offshore gasification facility. Startup is scheduled for 2007 and it is anticipated that the front-end engineering and design contract (FEED) for the terminal should be signed within the next few weeks.
The North Adriatic LNG Terminal is expected to provide the Italian energy sector with the most modern terminal facilities and to support the Italian government's efforts to secure the country's increasing energy demands in the long-term. — (menareport.com)
© 2003 Mena Report (www.menareport.com)