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First LNG Commissioning Cargo Arrives at South Hook Terminal

Source: www.gulfoilandgas.com 3/23/2009, Location: Middle East

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Exxon Mobil Corporation today announced the first Liquefied Natural Gas (LNG) cargo arrived at the South Hook LNG receiving terminal in Milford Haven, Wales. The terminal adds to the UK’s LNG import capacity and energy diversity with the ability to deliver up to 2 billion cubic feet of gas daily into the natural gas grid when it reaches full operational capacity in 2009.

South Hook LNG Terminal Company Ltd. is owned by Qatar Petroleum (67.5 percent), ExxonMobil (24.15 percent) and Total (8.35 percent). The terminal forms part of the wider Qatargas II joint venture which will supply gas to the UK from Qatar’s North Field. The terminal, which is being completed in two phases, includes five LNG storage tanks, a regasification plant, ship unloading systems and a jetty to allow berthing of the world’s largest LNG vessels.

“The arrival of the commissioning cargo into South Hook is a significant milestone in the development of the Qatargas II project, the world's first full LNG value chain investment,” said Mr. Faisal Al Suwaidi, Chairman and Chief Executive Officer of Qatargas Operating Company. “ExxonMobil has been a strong partner with Qatar Petroleum offering innovative technologies and expertise that have helped transform our regional gas resource into a global supply of clean-burning energy.”

“Not only will our LNG ventures with Qatar help satisfy increasing energy demand, they will also strengthen global energy security by helping to diversify supplies,” said Neil Duffin, President of ExxonMobil Development Company. “Advanced technologies, project execution capabilities and economies of scale have reduced costs, thereby extending our ability to bring global LNG supplies to the UK and elsewhere around the world. We look forward to the start of commercial operations at South Hook.”

Facilitating the development of a global market for cleaner-burning natural gas, ExxonMobil is an industry leader in all aspects of the LNG value chain from resource development, liquefaction, transportation, receiving terminals and gas marketing. In partnership with Qatar Petroleum, the company is employing new technology to build four of the largest LNG production facilities in the world, LNG regasification terminal projects in the UK, Italy and the US, as well as the industry's largest vessels to carry LNG to market. ExxonMobil is also participating in the development of LNG projects in Papua New Guinea and Australia.

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