The agreement was covers the supply of 0.5 million tons of LNG per annum (mtpa) for a long-term period starting in 2006. Kyushu is an existing long-term customer of NWS LNG and Japan's fourth largest power utility.
The agreement with Kyushu Electric follows the Letter of Intent (LOI) signed in March 2001, and is the third in a series of Sales and Purchase Agreements to be signed for supply of LNG from the North West Shelf Venture's LNG expansion project.
The project includes a fourth LNG processing train at the Venture's gas processing facilities on the Burrup Peninsula, Western Australia, and a second trunkline from the North Rankin platform to shore. First LNG from the fourth train is scheduled for mid-2004.
The agreement with Kyushu Electric is the latest in several recent agreements with other Japanese customers, these being:
Last year BHP Billiton announced approval for a fourth train expansion of the LNG facilities at the North West Shelf Project in Western Australia.
BHP Billiton's equity in the North West Shelf Project is 16.67 percent. The other participants are Woodside Energy Ltd (operator - 16.67 percent); BP Developments Australia Pty Ltd (16.67 percent); Chevron Australia Pty Ltd (16.67 percent); Japan Australia LNG (MIMI) Pty Ltd (16.67 percent); and Shell Development (Australia) Proprietary Limited (16.67 percent).
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