Total has UK LNG import buying options-South Hook Gas

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

31 Dec 2009

Total's liquefied natural gas (LNG) import capacity at Britain's South Hook terminal allows the company to import fuel from alternative sellers and not just Qatargas 2, South Hook Gas said. South Hook Gas is a part of the Qatargas 2 project and a long term buyer of Qatargas2 sourced LNG.
Last Wednesday, South Hook Gas agreed a 25-year deal with Total Power and Gas, part of Total, to provide regasification services at South Hook terminal.
"Total, just like any other prospective importer of LNG to the UK, can engage with South Hook Gas to bring any acceptable LNG (in respect of quality) to the UK if the terminal is not being used for Qatargas2 supply," a spokeswoman for South Hook Gas said.
This allows Total to buy LNG from Qatargas 2 and other LNG producers, ship it to Britain and turn the super-cooled fuel back into gas, ready to be pumped to Britain's gas system.
"This innovative arrangement will help to maximise use of the South Hook Terminal and increase the opportunity for LNG deliveries to come to the UK," said Rashid Al-Marri, general manager at South Hook Gas.
"This agreement with Total is the first of its kind both in the UK gas market and the global LNG market," the spokeswoman added, but did not comment on Total's overall regasification capacity at South Hook.
Qatargas 2 is Qatargas' vertically integrated LNG project, starting with gas extracted from Qatar, liquefied and shipped from Ras Laffan to Britain's gas market through South Hook via tankers.

Source: Reuters