Centrica, StatoilHydro and CCC agree MOU for Nigerian LNG consortium

Source: www.gulfoilandgas.com 11/7/2007, Location: Africa

Centrica plc, StatoilHydro ASA (Statoil ASA), and Consolidated Contractors Company ("CCC") have signed a Memorandum of Understanding ("MOU") for participation in a consortium to assess the feasibility of developing LNG projects in Nigeria.

The agreement, for an initial eighteen month period with an option to extend, would see Centrica and StatoilHydro each taking a 37.5 per cent interest in the consortium, with CCC holding 25 per cent. The feasibility study cost is expected to be about $10 million (USD) and will include analysis of potential feed gas, LNG plant locations including local infrastructure and end markets.

Centrica, which holds two exploration licences in Nigeria, is broadening its search for new sources of gas to supply its British Gas, European and North American customers. Its current Nigerian work programme will see exploratory wells in its offshore/onshore block 276 commence in 2008.


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