NWS Venture, Tohoku Electric Sign LNG Heads of Deal

The North West Shelf Venture participant companies and Tohoku Electric of Japan have signed a heads of agreement for the ongoing supply of liquefied natural gas from Australia's largest resources project.

In a multi-part deal commencing in April 2010, the North West Shelf Venture will:

--increase LNG quantities under an existing agreement
--convert that agreement from a loaded basis to an ex-ship basis
--supply a new quantity of LNG on an ex-ship basis

The net effect of these elements is to increase the supply of LNG by about 0.5 million tonnes a year starting in 2010 for eight years. Total North West Shelf Venture LNG sales to Tohoku Electric will now be about 1 million tonnes a year from 2010.

The six equal participants in the NWS Venture are: Woodside Energy Ltd. (16.67% and operator); BHP Billiton Petroleum (North West Shelf) Pty Ltd (16.67%); BP Developments Australia Pty Ltd (16.67%); Chevron Australia Pty Ltd (16.67%); Japan Australia LNG (MIMI) Pty Ltd (16.67%); and Shell Development (Australia) Proprietary Limited (16.67%).

Company: BHP Billiton more info
Operates 1 Offshore Rigs
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Company: BP plc more info
Operates 33 Offshore Rigs
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Company: Shell more info
Operates 31 Offshore Rigs
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Company: Woodside more info
Operates 3 Offshore Rigs
 - Woodside To Raise $2B, Look To Offshore Gas Project For Growth (Feb 14)
 - Chevron Starts LNG Output at Australia's Wheatstone (Oct 09)
 - Global LNG: Faltering Supply Prompts Short-Covering Price Rally (Aug 11)
Company: Chevron Corporation more info
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Company: CNOOC more info
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Company: Japan Australia more info
 - Australia's Browse FLNG JV Decides Not to Proceed with Development (Mar 23)
 - NWS JV to Develop $2B Greater Western Flank Phase 2 Project Off Australia (Dec 11)
 - NWS JV to Develop $1B Persephone Project Off Northwest Australia (Nov 27)
Company: North West Shelf Australia LNG more info
 - North West Shelf Increases LNG Supplies to Tohoku (Dec 04)
 - HMC Returning to Australian Waters (Nov 28)
 - CNOOC Boosts Q1 Production (Apr 26)
Company: Tohoku Electric more info
 - Chevron to Supply LNG to Tohoku Electric from Wheatstone Project (Oct 01)
 - Inpex Completes Transfer of 6% Interest in Ichthys LNG to Total (Mar 01)
 - NWS Venture, Tohoku Electric Sign LNG Heads of Deal (Mar 16)
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