North Adriatic LNG terminal FEED contract expected soon; project gets new partners, sales agreements

A contract is expected within the next few weeks for front-end engineering and design work on the Edison Gas North Adriatic LNG terminal to be constructed in the north Adriatic Sea off Rovigo in northern Italy (see illustration, map OGJ, Sept. 6, 1999, p. 21). The terminal will be designed to regasify more than 4 billion cu m/year.

Nov. 21, 2003

By OGJ editors

HOUSTON, Nov. 21 -- A contract is expected within the next few weeks for front-end engineering and design work on the Edison Gas North Adriatic LNG terminal to be constructed in the north Adriatic Sea off Rovigo in northern Italy (see illustration, map OGJ, Sept. 6, 1999, p. 21). The terminal will be designed to regasify more than 4 billion cu m/year.

The project will provide the northern Italian energy sector with natural gas from Qatar's giant North field, which has recoverable resources of more than 900 tcf of gas.

Exxon Mobil Corp. and Qatar Petroleum (QP) announced Thursday that they had each acquired a 45% equity interest in the terminal project, while former sole-owner Edison Gas SPA of Italy will retain the remaining 10% share.

In addition, supplier Ras Laffan Liquefied Natural Gas Co. Ltd II in Qatar and Edison Gas signed amended sale and purchase agreements to increase LNG supplies to 4.7 million tonnes/year of LNG, for 25 years commencing in 2007, from the initially agreed level of 3.5 million tonnes/year. By comparison, Italy imported a total of 2.56 million tonnes of LNG via other facilities in 2002.