Sunday, 15 August 2010

Japans share Inpex Ichthys LNG buyer, given for sales

Maritime News
August 15, 2010 13:44
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Japans share Inpex Ichthys LNG buyer, given for sales

Japan’s Inpex Corp is considering selling stakes in the upstream portion of its Ichthys project in Australia to prospective LNG buyers, a company official said Tuesday.

The company has already received interest from some buyers in taking
upstream stakes, the official said. But as yet the company has not
decided on the extent of any sale, he added, and the size of any stakes
would be the subject of talks with potential buyers.? The official said
that the company was looking to sign preliminary heads of agreements
with LNG buyers prior to taking the final investment decision on the
project. In May, Inpex delayed an FID on the Ichthys LNG project until
the fourth quarter of 2011 and rescheduled production startup to Q4
2016. The company had been expecting to make an FID this year and was
targeting first LNG in 2015. Several Australian LNG projects have in the
past several months sold stakes to buyers alongside offtake sales.
Several sources have said that producers have offered stakes in an
effort to attract buyers in a market seen as somewhat over-supplied.
Inpex is looking at selling upstream stakes in the associated fields for
the Ichthys project, rather than in the project itself, the official
said. The Ichthys project is 76% owned by Inpex Browse Oil, with the
rest held by Total E&P Australia. The gas field has 12.8 trillion
cubic feet of natural gas reserves and 52.7 barrels of condensate. The
project will produce 8.4 million mt/year of LNG, 1.6 million mt/year of
LPG, and 100,000 b/d of condensate.

Source: Platts

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