LNG Limited, Meridian extend Magnolia deal validity

Perth-based Liquefied Natural Gas Limited said its offtake deal with Meridian LNG for the volumes from its Magnolia LNG export project in Louisiana, USA. 

The company said in its statement on Thursday the financial close date of the legally binding offtake agreement to December 2018.

“This three-month extension continues to allow both parties to maintain commercial flexibility,” the statement reads.

All other provisions of the governing agreements not specifically amended by this extension remain in full force and effect.

LNGL’s agreement with Meridian LNG was signed in July 2015 and included firm capacity rights at Magnolia for up to 2 mtpa for an initial term of 20 years with an option to extend by a further five years.

LNG Limited’s Magnolia project is planned to have an 8 mtpa or greater liquefied natural gas export capacity.