InterOil, Pacific LNG clinch gas deal

 INTEROIL and Pacific LNG Operations Ltd have clinched a deal to supply Noble Clean Fuels Ltd with one million tonnes per annum of liquefied natural gas from the Gulf LNG project.
Noble Clean Fuels is a wholly-owned subsidiary of Noble Group Ltd.
The Gulf LNG project comprises the Elk and Antelope gas fields and Liquid Niugini Gas Ltd, the InterOil and Pacific LNG joint-venture project, with modular LNG plants contracted with Energy World Corp Ltd. 
InterOil said yesterday a fixed floating LNG faci­lity was also being developed with Flex LNG Ltd and Samsung Heavy Industries Co, Ltd.
The agreement sets out the basis upon which the parties intend to conclude terms for the purchase and sale of 1mtpa of LNG (FOB) for a period of 10 years from 2014, to be supplied by the proposed Gulf LNG project. 
InterOil and Pacific LNG intended to complete negotiations and execute binding agreements with Noble later this year.
InterOil chief executive officer Phil Mulacek said: "We are pleased to have executed our first heads of agreement for LNG off-take from our Gulf LNG project in Papua New Guinea.
"InterOil is proud to work with the Noble Group, which has a proven track record of providing long-term fuel supply to major utilities across Japan, South Korea, China, and Asia as a whole."
Liquid Niugini Gas vice-president LNG marketing Conrad Kerr said: "Noble is a good fit for the InterOil strategy of mid-scale and floating LNG production and LNG supply is a natural expansion of the Noble Group's historical relationships in long-term coal supply for power generation."