LNG extends Meridian offtake agreement

Company News

by Rachael Jones

Liquefied Natural Gas (ASX:LNG) through its 100 per cent owned project company, Magnolia LNG, and Meridian LNG Holdings Corporation have agreed to extend the financial close date of their legally binding offtake agreement to 31 December 2018. 

This three-month extension continues to allow both parties to maintain commercial flexibility. 

All other provisions of the governing agreements not specifically amended by this extension remain in full force and effect. 

LNGL’s agreement with Meridian LNG was signed on 23 July 2015 and included firm capacity rights at Magnolia for up to 2 mtpa for an initial term of 20 years with an option to extend by a further five years.

Shares in Liquefied Natural Gas (ASX:LNG) closed 2.16 per cent lower to 68 cents yesterday.