EXMAR Says No Irregularities in Bidding for Jamaica LNG Project

In June 2010, the consortium of EXMAR MARINE NV (a 100% subsidiary of EXMAR NV), Promigas S.A. E.S.P and Caribbean LNG (Jamaica) Limited (the Consortium) was selected as preferred bidder for the proposed development of a Floating Liquefied Natural Gas Storage and Regasification Terminal and Natural Gas Transportation System. The Project is expected to produce significant benefits for the Jamaican energy sector.

On May 20th, 2011, the members of the Consortium were advised by letter from the Office of the Contractor General of Jamaica (OCG) that the OCG has completed an investigation and prepared a report on the circumstances surrounding the Consortium’s selection as preferred bidder. The OCG report is now being examined by the Consortium members and their respective advisers.

It is too early for EXMAR to comment on the contents or any findings and recommendations contained in the OCG report. EXMAR will require time to review the report and to discuss it with the other members of the Consortium and with the Government of Jamaica. However, EXMAR is confident that the Consortium’s award as preferred bidder for the Project was made with total transparency and in full compliance with Jamaican bidding regulations as well as with international infrastructure project bidding standards and norms. At no time prior to or during the selection bidding process did EXMAR MARINE NV act improperly or in an irregular manner.

Since the date the Consortium was selected as preferred bidder for the Project, EXMAR MARINE NV has invested considerable time, money and other resources in studies and meetings with representatives of the Government of Jamaica, other members of the Consortium, and sub-contractors. EXMAR MARINE NV has also consistently and transparently negotiated in good faith with the team designated by the Government of Jamaica with respect to an Implementation Agreement for the Project.

Considering the time and effort already spent by the Government, the Consortium and their respective advisers on this Project, EXMAR believes it would be against the interest of Jamaica to negate the award. It is hoped for the benefit of all parties concerned that the Government of Jamaica reaffirms its commitment to the Project and to the Consortium. In the course of coming days, EXMAR will insist on its full rights to due process for the benefit of the Project and the integrity of the Government of Jamaica’s procurement process. EXMAR remains fully committed to Jamaica and to the Jamaica LNG Project.

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Source: EXMAR, May 27, 2011;