Statoil, Sonatrach Sign LNG Extension Deal

StatoilHydro and Sonatrach agreed on to extend a liquefied natural gas (LNG) supply accord and allow Sonatrach access to one of Statoil' terminals abroad, Sonatrach said. The agreement gives Sonatrach the right to use Statoil's regasification capacity at the U.S. Cove Point import terminal to deliver two billion cubic metres per year of LNG to U.S customers for 15 years from 2009, a Sonatrach statement said.

The document signed in Algiers also includes an agreement for Sonatrach to sell an additional one billion cubic metres of LNG per year between 2009 and 2014. That volume will be transported to the same terminal, the statement carried by the official news agency APS said. The sale deal is an extension of a contract signed between the two sides in 2003, APS said. source: AP