RWE Exits Adria LNG Project In Croatia

Published: 20-Oct-2009

RWE AG (RWE) has decided to move out from the Adria liquefied natural gas (LNG) consortium that intends to construct a regasification terminal for LNG on the Croatian island of Krk, Dow Jones Newswires reported. The decision to withdraw from Adria LNG is a consequence of RWE's current review of its global LNG business. The company has offered its stake in the project the other shareholders, which are still considering the feasibility of constructing a terminal.

RWE presently holds around 16.7% in the Adria LNG consortium and has an associated capacity of three billion cubic meters of LNG per year.

The other consortium members include E.ON AG with 31.2%, OMV AG, Total S.A each holding 25.6% and GEOPLIN holding around 1% interest.

The consortium intends to construct a regasification terminal on the Croatian island of Krk, which is likely to be operational in late 2014.

Initially, the project partners intend to construct a terminal with an annual capacity of 10 billion cubic meters, which will be expanded to 15 billion cubic meters in a second stage.

Till date, however, a final investment decision has not been taken. That decision is likely to be taken in 2010.

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