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Kuwait not happy with Qatar terms for LNG

Kuwait, July 1, 2009

Kuwait is still in talks with Qatar to import liquefied natural gas (LNG) but is not happy with the proposed terms of agreement, Kuwait's oil minister said on Wednesday.

"Talks (with Qatar) are still ongoing. Whenever they want to improve the terms (of agreement), we are listening," Sheikh Ahmad al-Abdullah al-Sabah told reporters at parliament.

Asked if he was happy with the terms by Qatar so far, he said: "No, we are not."

"When you want to buy something you look for the best conditions that suits you. That's what we found with Shell," he added, declining to elaborate.

Last week, state-run Kuwait Petroleum Corp (KPC) signed a deal with Royal Dutch Shell to import LNG starting this summer needed from power generation.

But Kuwait has also been talks with Gulf Arab neighbour Qatar to import LNG to meet the summer shortfall.

Kuwait has one of the highest per capita power consumption rates in the world. It experiences peak gas demand in the summer when gas-fired power stations strain to meet demand for air conditioning as temperates peak.-Reuters




Tags: LNG | Kuwait | unhappy |

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