AccessMyLibrary provides FREE access to over 30 million articles from top publications available through your library.
Create a link to this page
Copy and paste this link tag into your Web page or blog:
(From Lloyds List)
Byline: Tony Gray
THE $3bn BP Tangguh liquefied natural gas project in Indonesia has moved closer to lift off with the finalisation of a second deal to supply South Korea.
But problems are pushing back first production of LNG by a year to 2008.
South Korean utility K-Power has agreed to purchase 600,000 tonnes a year of LNG over 20 years, starting in 2006.
K-Power, a joint venture between SK Corp and BP, also has an option to buy an extra 200,000 tonnes a year to 2010. The Tangguh project now has firm sales commitments for 3.75m tonnes a year.
It has previously secured a contract for 2.6m tonnes a year for the Fujian LNG project in China, while South Korean steelmaker Posco has inked a deal for 550,000 tonnes over 20 years starting in 2005. The contracts represent more than half the design output of the project's two 3.5m tonnes a year LNG trains.