More gas
17 Nov 2003
BG Energy Holdings has signed a memorandum of understanding with Petroplus International for the joint development, ownership and operation of a Liquid Natural Gas (LNG) import and re-gasification facility at Milford Haven in Wales.
BG intends to acquire a 50% equity stake in Dragon LNG, a company established to develop the project. In addition to this equity position, BG intends to contract for the use of 2.2 million tonnes per annum (mtpa) of capacity at the facility, or half of the initial planned throughput capacity.
The new facility, which is expected to be operational in 2007, has received planning permission and would deliver natural gas into the UK market via the UK national transmission system.
The Petroplus Milford Haven facility, located in Wales, UK, was acquired by Petroplus from Chevron in 1998. The complex comprises 1,550,000 cubic meters of storage capacity, deepwater jetties and a mothballed refinery including a co-generation facility.
The development proposal provides for the adaptation of these facilities for use as an LNG tanker berth, with pipelines and other facilities for unloading LNG and transporting it to storage tanks onshore within the existing site.
