LNG Limited of Australia to Secure Gas Supply Directly from WestSide

LNG Limited of Australia plans to secure gas supply for its proposed Fisherman’s Landing LNG project directly from WestSide, following the withdrawal of PetroChina from takeover talks with Westside.

“While LNG Ltd is disappointed at PetroChina’s withdrawal from the Westside Acquisition, LNG Ltd now intends to pursue the option of gas supply directly from Westside due to the location and quality of their resource.

LNG Ltd will also continue to work with PetroChina Australia, under the August 2012 Letter of Intent, and LNG Ltd’s major shareholder China Hu anqiu Contracting & Engineering Corporation ( HQC ) to secure gas supply for the LNG Project,” the company revealed in a statement.

LNG Ltd’s Managing Director, Maurice Brand, said “this is an unexpected development, particularly given the lengthy period of the due diligence process and negotiations in respect of the Westside Acquisition.”

“We remain firmly of the view that the LNG Project provides a lower cost alternative to other LNG projects in Australia and an opportunity for gas suppliers, with uncommitted gas resources, to access higher international gas prices. We will be using all endeavours to secure such gas resources for the LNG Project”, he added.

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LNG World News Staff, May 15, 2013; Image: LNG limited