Shell-Total JV signs contract to construct Mexico's first LNG terminal

By OGJ editors
HOUSTON, Dec. 19, 2003 -- Terminal de LNG de Altamira S de RL de CV—a joint venture of Royal Dutch/Shell Group and Total SA—has signed a $250 million contract with Ishikawajima-Harima Heavy Industries Co. Ltd. (IHI) and ICA Fluor Consortium for the construction of what would become Mexico's first LNG regasification terminal.

The lump-sum, turnkey agreement will entail the design, engineering, procurement, construction, and start-up services for the new facility, which is to be built near Port of Altamira on the eastern coast of Mexico near Tampico.

The terminal will have an initial capacity of 650 MMcfd of gas, with provisions for future expansion, the partners said. The project's construction is slated over 36 months and the start of operation is expected during second half 2006.

Earlier this year, Total marked its first involvement with an LNG regasification terminal through its acquisition of a 25% stake in the Altamira LNG terminal project (OGJ Online, Oct. 3, 2003).

IHI will serve as the project's consortium representative and the technical leader. ICA Fluor, which is jointly owned by Fluor Corp. and Empresas ICA Sociedad Controladora, will act as the overall project manager and provide all local services.

The terminal will include LNG unloading and ship-berthing facilities; two, 150,000 cu m double containment LNG storage tanks; and regasification, send-out installations.

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