4th Jun 2007 08:59
BG GROUP plc04 June 2007 News Release 04 June 2007 BG Group finalises agreement to meet natural gas demand in Chile BG Group today announced that it has signed an agreement to supply Chile's firstLiquefied Natural Gas (LNG) import terminal. The 2.5 million tonnes per annum (mtpa) terminal in Quintero Bay - approximately110 kilometres northwest of Santiago - will have the capacity to meet up to 40%of the country's demand for natural gas. BG is a 40% shareholder in theregasification terminal which is targeted to commence operation in the secondquarter of 2009. BG executed the 21-year LNG sale and purchase agreement to supply Chile with 1.7mtpa of LNG through the terminal, to be supplied from the company's global LNGportfolio. Rick Waddell, BG Executive Vice President, South America said: "Chile has a vibrant and growing economy which needs new gas supplies and we areideally placed to work with our Chilean partners to meet that demand. "The Quintero LNG project expands our South American operations and provides along-term counter-seasonal market for our LNG portfolio. We are delighted tohave finalised our investment and participation in Chile's first LNG importterminal. " Background GNL Quintero SA (GNLQ) is the project company which will own and operate theterminal. In addition to BG's 40% shareholding, the other partners in theproject are the Chilean national oil and gas company ENAP (20%), power companyEndesa Chile (20%) and gas distribution company Metrogas (20%). GNLQ today also entered into agreements for the provision of regasificationservices at the terminal and for the onward sale of the terminal's regasifiednatural gas. The US$775 million engineering, procurement and construction contracts have beenawarded to CB&I. There are matters discussed in this news release that are forward lookingstatements. Such statements are only predictions and actual events or resultsmay differ materially. For a discussion of important factors which could causeactual results to differ from the forward looking statements, refer to theCompany's annual report and accounts for the year ended 31 December 2006. TheCompany does not undertake any obligation to update publicly, or revise, forwardlooking statements, whether as a result of new information, future events orotherwise, except to the extent legally required. Notes to Editors: BG Group plc is a global natural gas business. Active on five continents in 25countries, it operates four business segments - Exploration and Production, LNG,Transmission and Distribution and Power. In the USA, BG LNG Services, LLC (BGLS) holds, until 2028, 100% of the capacityrights at North America's largest operating LNG import terminal, Lake Charles inLouisiana. BGLS also holds supply and regasification rights for 17 years at theElba Island LNG terminal near Savannah, Georgia. BG has long-term purchase agreements in place with Equatorial Guinea LNG Train1, S.A.; Nigeria LNG Ltd; Egyptian LNG Train 2; and with Atlantic LNG Train 4. In the Middle East, BG is a shareholder in Egyptian LNG Trains 1 and 2 and athird LNG train is under consideration. There is scope at the development sitefor up to six trains. BG Group is also the major project shareholder in two proposed regasificationterminals, the Dragon LNG import project in Milford Haven, Wales and theBrindisi LNG import project in Brindisi, Italy. Enquiries: Communications: +44 (0) 118 929 2462 Out of hours media mobile: +44 (0) 791 718 5707 Investor Relations: +44 (0) 118 929 3025 Website: www.bg-group.com - ends - This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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