Lebanon Businessnews News

Gas supply draft underway
Re-gasification plant to link with coastal pipeline
Share     Share on Facebook     Share on LinkedIn    
The Ministry of Energy and Water is currently drafting a law for the supply of natural gas for use in local power plants, factories, and households.

The Ministry will hold negotiations with gas-exporting countries such as Algeria, Qatar, and Yemen. “Other foreign sources and private firms might also be reached for the purpose,” said Zaher Sleiman, Oil and Gas Consultant for the Ministry.

A planned Floating Storage and Re-gasification Unit (FSRU) will convert imported liquefied natural gas (LNG) to gas for domestic use. “A tender to build the FSRU is currently being held, and results will be announced in October,” said Sleiman. By then, the draft law would be finalized.

Joint parliamentary committees have formed a subcommittee to study another complementary draft law concerning the installation of a coastal gas pipeline. The FSRU will later be annexed to the pipeline network to distribute the treated gas.

The subcommittee will seek funding for the FSRU project’s cost, estimated at $455 million. “We can no longer borrow from the State Treasury. The best solution would be contracting loans from Arab funds,” said MP Mohammad Kabbani, one of the subcommittee’s members.
Reported by Yassmine Alieh
Date Posted: Aug 07, 2013
Share     Share on Facebook     Share on LinkedIn