By OGJ editors
HOUSTON, Nov. 13 -- BG Group PLC subsidiary BG Energy Holdings Ltd. and Amsterdam-based Petroplus International NV have agreed to create Dragon LNG Ltd. as a 50:50 joint venture to own and operate an LNG import and regasification facility at Milford Haven, Wales.
Dragon will adapt a mothballed Petroplus refinery complex that Petroplus Tankstorage BV currently operates as a commercial tank farm for petroleum products.
The complex, acquired from Chevron Corp. in 1998, has 1.55 million cu m of storage capacity, deepwater jetties, and a cogeneration facility. Its marine docking and unloading facilities with three berths will be adapted for use as an LNG tanker berth, with pipelines and other facilities necessary for unloading LNG and transporting it to onshore storage tanks within the existing site.
The new LNG regasification plant, expected to start operations in 2007, will deliver natural gas into the UK market via the national gas transmission system.
BG said it would contract for 2.2 million tonnes/year of capacity at the facility, half of the initial planned throughput capacity.
ExxonMobil also is considering building a terminal at Milford Haven with an import capacity of about 21 billion cu m/year (OGJ, Aug. 25, 2003, p. 100).
