10-19-2005, 06:03 AM
<b>SSGC, ABN Amro sign consultancy accord for first LNG project</b>
<b>KARACHI: Sui Southern Gas Company (SSGC) has signed a major agreement with a consortium led by ABN-Amro Bank and Poten & Partners (Pty) as a consultant, who would prepare a concept report on the LNG import project with detailed study.
âThe Liquefied Natural Gas (LNG) project is a vital component of the National Energy Plan of Pakistan as it will result in enhancing the SSGCâs supply capacity by adding between 350 and 500mmcfd to the availability of natural gas, vital to meet the countryâs growing need for energy by 2009â2010,â an official of the company said.</b>
The signing ceremony was held at the SSGC head office on Tuesday. Munawar Baseer Ahmad, managing director SSGC, and Naved A Khan, country manager, ABN Amro Bank, signed the agreement on behalf of their respective organizations.
The companyâs statement said âas part of the consultancy services, the consultants will be preparing a concept report on the LNG Import Project recommending therein appropriate options for the project structure. This will involve undertaking detailed studies of strategic, market, commercial and regulatory issues pertaining to the Project.â
The first phase of the project envisages the preparation of pre-qualification and bidding documents for invitation and short-listing of potential joint ventures or consortia for the supply of LNG to the SSGC. The consultants would also render assistance in formulating the LNG import strategy in line with the National Energy Plan and provide input for the LNG Import Policy Framework, it added.
<b>The LNG import project is in line with the government of Pakistan strategy to secure future energy supplies for the nation for which the government has been reviewing the feasibility of importing gas through transnational pipelines as well as LNG. The official statement said with the vision of supplementing local natural gas supplies, the SSGC envisaged an integrated LNG import contract inclusive of procurement, transportation, storage and re-gasification facilities to be set up on a build-own-operate basis at the Port Qasim terminal or near the Karachi Port.
It said the expected delivery capacity would be 2.5 million metric tones of LNG per annum, equivalent to about 300mmcfd with the option for larger volumes of up to 3.5 million tons of LNG or nearly 500mmcfds of natural gas.</b>
As the next step following the appointment ABN Amro, lead consultants will submit an inception report to undertake the pre-feasibility and recommend pre-qualification criteria for investor consortia to undertake the project. Five international and local consortia had responded to the SSGCâs Request for Proposal. The consortium of ABN Amro and Poten & Partners was short-listed subsequent to technical and financial evaluation of the proposals.
At the signing ceremony, Munawar Baseer Ahmad, MD SSGC, acknowledged the role of ABN Amro in this pioneering project along with the SSGC and stated that âthe SSGC is fully committed to getting this project of vital national importance on stream, in the shortest possible time. The LNG project, he said, would further establish the high standard of technical expertise that the company possessed in initiating and commissioning a complex project such as this. The project, which is expected to be set up on build-own-operate (BOO) or build- operate-transfer basis at the Port Qasim Terminal or the Karachi Port Trust (KPT) area, will consist of a comprehensive supply chain organization along with a dedicated terminal for LNG. staff report
Cheers
<b>KARACHI: Sui Southern Gas Company (SSGC) has signed a major agreement with a consortium led by ABN-Amro Bank and Poten & Partners (Pty) as a consultant, who would prepare a concept report on the LNG import project with detailed study.
âThe Liquefied Natural Gas (LNG) project is a vital component of the National Energy Plan of Pakistan as it will result in enhancing the SSGCâs supply capacity by adding between 350 and 500mmcfd to the availability of natural gas, vital to meet the countryâs growing need for energy by 2009â2010,â an official of the company said.</b>
The signing ceremony was held at the SSGC head office on Tuesday. Munawar Baseer Ahmad, managing director SSGC, and Naved A Khan, country manager, ABN Amro Bank, signed the agreement on behalf of their respective organizations.
The companyâs statement said âas part of the consultancy services, the consultants will be preparing a concept report on the LNG Import Project recommending therein appropriate options for the project structure. This will involve undertaking detailed studies of strategic, market, commercial and regulatory issues pertaining to the Project.â
The first phase of the project envisages the preparation of pre-qualification and bidding documents for invitation and short-listing of potential joint ventures or consortia for the supply of LNG to the SSGC. The consultants would also render assistance in formulating the LNG import strategy in line with the National Energy Plan and provide input for the LNG Import Policy Framework, it added.
<b>The LNG import project is in line with the government of Pakistan strategy to secure future energy supplies for the nation for which the government has been reviewing the feasibility of importing gas through transnational pipelines as well as LNG. The official statement said with the vision of supplementing local natural gas supplies, the SSGC envisaged an integrated LNG import contract inclusive of procurement, transportation, storage and re-gasification facilities to be set up on a build-own-operate basis at the Port Qasim terminal or near the Karachi Port.
It said the expected delivery capacity would be 2.5 million metric tones of LNG per annum, equivalent to about 300mmcfd with the option for larger volumes of up to 3.5 million tons of LNG or nearly 500mmcfds of natural gas.</b>
As the next step following the appointment ABN Amro, lead consultants will submit an inception report to undertake the pre-feasibility and recommend pre-qualification criteria for investor consortia to undertake the project. Five international and local consortia had responded to the SSGCâs Request for Proposal. The consortium of ABN Amro and Poten & Partners was short-listed subsequent to technical and financial evaluation of the proposals.
At the signing ceremony, Munawar Baseer Ahmad, MD SSGC, acknowledged the role of ABN Amro in this pioneering project along with the SSGC and stated that âthe SSGC is fully committed to getting this project of vital national importance on stream, in the shortest possible time. The LNG project, he said, would further establish the high standard of technical expertise that the company possessed in initiating and commissioning a complex project such as this. The project, which is expected to be set up on build-own-operate (BOO) or build- operate-transfer basis at the Port Qasim Terminal or the Karachi Port Trust (KPT) area, will consist of a comprehensive supply chain organization along with a dedicated terminal for LNG. staff report
Cheers