Agreements Require Costa Azul LNG Terminal to Be Paid When Cargos Diverted to Other Destinations
Posted on Aug 31, 2009 in Markets and Competition, Regas Terminals & Capacity | Comments Off on Agreements Require Costa Azul LNG Terminal to Be Paid When Cargos Diverted to Other Destinations
The San Diego Union-Tribune describes the contractual arrangements that require certain capacity holders at the Energia Costa Azul LNG terminal to pay the terminal a diversion fee if a cargo is diverted to another destination. The article explains that half the terminal’s capacity is leased by Royal Dutch Shell and the other half to capacity holders who are required to pay the terminal’s owner and operator, Sempra, the profit it would have made had the cargo been delivered to North America.