December 2011, Vol. 238 No. 12
In The News
Shale Gas To Be Exported Worldwide In Cheniere-BG Deal
U.S. shale gas could be exported for the first time after an $8 billion deal was reached between the BG Group and Cheniere Energy. The gas is likely to be sent to countries in Asia and Europe, including the UK, after it is liquefied. The price of gas in the U.S. is one-fourth of the price in Asia and about half the price in the UK. “If we start construction by next year, then we could be exporting by 2015,” said Cheniere CEO Charif Souki. “The BG Group contract will help with financing.” BG already exports to 22 countries including the UK. Under the deal, Cheniere will sell 3.5 million tons annually of LNG to BG for 20 years, at a cost of 115% the U.S. p
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