Bahrain firm launches study on setting up LNG terminal
Manama, October 20, 2008
Bahrain's drive to secure energy for its future needs has gained momentum with the launch of a study to establish an LNG terminal.
The step has been taken by the National Oil and Gas Authority (Noga). Oil and Gas Affairs Minister and Noga chairman Dr Abdulhussain Mirza signed a memorandum of understanding (MoU) with HESS LNG president and chief executive officer Gordon Shearer, according to a report in our sister publication, the Gulf Daily News.
"The signing ceremony is symbolic of the real and necessary partnership Noga is establishing in its quest to meet the true challenge of its ultimate goal of securing the necessary energy to fuel the economic growth and prosperity of the kingdom," said Dr Mirza.
"Energy security is a key goal that is fully subscribed to and is in the forethought of the leadership of the kingdom."
Noga is vigourously and actively pursuing discovery of new oil and gas sources and also advanced and more efficient recovery of existing and known energy resources, said Dr Mirza.
"We are also very actively engaged in negotiations to facilitate import of natural gas to guarantee ample supplies in the future so wheels of industry continue turning and urban development is not hindered well into the future," he added.
"This latest LNG terminal study under this MoU will add a further dimension to Noga's quest to secure the energy for our future needs and continued growth."
The objective of the study is briefly as follows:
- Determine whether or not the introduction of LNG into Bahrain is a realistic and economic option.
- To assess the commercial viability of constructing an LNG import terminal and identify the best configuration and most suitable location for such a terminal.
- In the event that an LNG terminal is assessed to be commercially and practically viable, consideration will be given to forming a suitable venture to own and operate such an undertaking.
The study will offer an opportunity to form a true partnership and knowledge sharing whereby LNG and terminal knowledge and expertise of HESS LNG and the domestic and engineering knowhow of Bapco will compliment one another, said Dr Mirza.
"This will practically answer a very key question so we may continue our way forward towards our ultimate goal of achieving energy security for the future generations," he added.
"Apart from HESS LNG, Bapco and our own Noga professionals, Electricity and Water Authority, the industrial and public sector will be very much part of this study and will contribute to its success." - TradeArabia News Service