How Much a Threat Is Downstream Liberalization to Traditional LNG? And How Concerned Should a Project Lender Be?
Article from: OGEL 3 (2009), in OGEL Student Special
Summary
(CEPMLP) Conventionally, Gas Sales Agreements have been on long-term basis characterised by take-or-pay implementation arrangements. However, setbacks arising from the lack of transport system pipelines and bureaucracies in pipeline tariffs made pipeline gas, although still desirable, somewhat unattractive, thereby necessitating gas supply via LNG ships across oceans. With the capital intensive nature of LNG, project financing is a mainstay in LNG projects. From the lender's perspective, LNG is one of the most bankable energy projects informed by ...