LNG Limited (LNG Ltd) has seen its fiscal year dominated by its efforts to sign long-term contracts for Magnolia LNG. “Earlier this year, we stated our target to make a final investment decision by the end of the 2018 calendar year. We made that statement prior to the trade tensions that have manifested over the past months, which have caused headwinds for LNG transactions. We remain hopeful in our ability to bring a final investment decision for Magnolia LNG to the Board of Directors in the first part of 2019,” said Gregory Vesey, Managing Director and Chief Executive Officer of LNG Ltd.
“There are varying opinions on how and when the trade issues with China will be resolved. Considering that, our communications with potential Chinese offtakers remain robust with the intent to complete agreements if trade tensions abate before Magnolia is fully sold out.”
On September 27, 2018, LNG Ltd announced that Magnolia LNG and Meridian LNG Holdings Corporation agreed extension of the financial close date of their legally binding 2.0 Mtpa offtake agreement to December 31, 2018. All other provisions of the governing agreements not specifically amended by this extension remain in full force and effect.
Bear Head LNG continues to progress in a positive direction with productive discussions with Western Canada resource holders. “The final investment decision for LNG Canada has brought additional attention to the need for LNG export projects on both of Canada’s coasts, and we believe Bear Head is the next best option,” said Gregory.
On July 17, 2018, Bear Head LNG signed a Memorandum of Agreement (MoA) with the Nova Scotia Construction Labour Relations Association Limited and Cape Breton Building and Construction Trades. The MOA ensured access to the skilled workforce needed for Bear Head’s proposed LNG facility on the Strait of Canso in Richmond County, Nova Scotia.
For more information visit: www.lnglimited.com.au
30th October 2018
