StatoilHydro, Sonatrach Sign HOA for Supply/Access to Cove Point
Posted on Mar 3, 2008 in Liquefaction, Markets and Competition, Regas Terminals & Capacity | Comments Off on StatoilHydro, Sonatrach Sign HOA for Supply/Access to Cove Point
Norway’s StatoilHydro ASA announced on March 1 that it has signed a binding Heads of Agreement (HOA) to provide Algeria’s Sonatrach with long-term access to the Cove Point LNG terminal expansion. According to the press release, under the terms of the HOA, Sonatrach will receive access to 2 Bcm/y of regasification capacity at Cove Point for 15 years beginning in 2009. In addition, StatoilHydro will purchase 1 Bcm/y of LNG from Sonatrach to import at Cove Point from 2009 to 2014. StatoilHydro Executive Vice President for Natural Gas, Rune Bjørnson, called the agreement “an important step in ensuring supply for the Cove Point Expansion project while expanding StatoilHydro’s presence in the U.S.”