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Canadian Pieridae Energy Signs LNG SPA with German Buyer E.ON
=To sell 5 million tons per year of LNG from Goldboro LNG Project
Pieridae Energy (Canada) Ltd. announced on June 3rd (local time in Canada) that it has entered into LNG sales and purchase agreement (SPA) with E.ON. Global Commodities SE, a subsidiary of German utility company E.ON SE.

Under the agreement, about 5 million tons per year of LNG will be supplied to E.ON for 20 years from LNG production project Goldboro LNG Project, which is being developed by Pieridae Energy. The contract price was set based on market prices of natural gas in the Western European Market.

Pieridae Energy reached an agreement to sell LNG from Goldboro LNG Project for the first time. At the project, total 10 million tpy of LNG is expected to be produced from two trains, each capable of producing 5 million tpy. The sales destination for full LNG production capacity at train 1 has been fixed with the SPA singed between Pieridae and E.ON.

LNG production start-up is scheduled for around the first quarter of 2020. It is anticipated that Pieridae will submit the environmental assessment (EA) report to the authority of the Province of Nova Scotia in 2013, where the project has been developed, and make a final investment decision (FID) in 2015.

At the site of LNG plant, three LNG tanks, each having capacity of 230,000 cubic meters, and a berth that can accommodate a 145,000-263,000 cubic-meter LNG carrier will be constructed, besides the LNG trains, for which the Air Products (AP) Propane pre-cooled Mixed Refrigerant (C3/MR) liquefaction process is adopted.

Several LNG projects have been proposed in Canada, which is rich in natural resources. Most of them, however, have proceeded on the Canada's west coast that will enable Canada to take advantage of opportunities to sell LNG to Asia.

On the other hand, the proposed Goldboro LNG plant will be built in the Province of Nova Scotia, which is located on the east coast of Canada. Pieridae plans to sell LNG to Europe and India, etc, which are geographically close to the east coast of Canada. It is estimated that it will take 6-8 days to transport LNG from Goldboro LNG Project to Belgium, Spain and Italy, etc. and will take about 18 days from the project to India.
last modified : Mon 10 Jun, 2013 [13:35]
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