LNG Ltd May Buy Gas Directly From WestSide

LNG Ltd has said that in the event of PetroChina withdrawing its bid to acquire WestSide, the company will now pursue the option of gas supply directly from Westside due to the location and quality of their resource.

The company will also continue to work with PetroChina Australia, under the August 2012 Letter of Intent, and LNG Ltd’s major shareholder China Huanqiu Contracting & Engineering Corporation (HQC) to secure gas supply for the LNG Project.

LNG Limited and PetroChina executed a non-binding Letter of Intent in August 2012 which related to the parties working together to secure gas supply for LNG Ltd’s proposed 3 million tonne per annum LNG project at Fisherman’s Landing, in the Port of Gladstone, Queensland.

Aside from the ongoing cooperation between LNG Ltd, PetroChina Australia and HQC, LNG Ltd in its own right will continue to progress other potential gas supply sources for the LNG Project.

On Tuesday, WestSide said that PetroChina decided to withdrawn from the negotiations to acquire 100 per cent stake of the Australian coal seam gas player "because the general situation in Australia has changed so much". PetroChina announced its intention to acquire the Australian firm in November last year.