By OGJ editors
HOUSTON, Apr. 13 -- Icon Energy Ltd. of Queensland signed a memorandum of understanding for an exclusive 20-year natural gas sale contract with a subsidiary of Chinese firm SinoGas Group. In an export deal valued at $21.3-29.7 billion, Icon would begin first shipments of LNG to China in 2014.
SinoGas plans to build a $674.5 million, 3 million tonne/year LNG receiving terminal at Budaiao Bay, Nanao Island, near Shantou City. The terminal project, designed to meet local gas demand, was approved by local governments in January and then forwarded to China’s National Development & Reform Commission for final approval.
The signing took place with representatives of the Shenzhen Sino Industrial Development Co. Ltd in Shantou City, Guangdong Province. The agreement is scheduled for negotiation and execution by the end of August. The company said it would become the exclusive supplier of 40 million tonnes of LNG.
