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Costa Azul LNG Terminal Will Receive Regular Cargoes As Indonesian production ramps up, Sempra Energy will be sending almost three LNG cargoes each month to its Baja California-based Costa Azul LNG terminal, reported Reuters in April.
Since starting operations in 2008, the facility has only received occasional deliveries, a function of both the low spot prices for LNG in North America as well as supply issues at Indonesia’s Tangguh LNG plant.
The 20-year contract with Tangguh is for 500 billion cubic feet of LNG but the producer has the option to divert as much as half the contracted supply if it obtains better prices elsewhere.
April and March of 2010 saw four cargoes arrive, a notable uptick after a quiet winter. Sempra has said that it does see some returns on imported gas at Costa Azul despite low U.S. gas prices; it also receives income from Shell and Gazprom, who have both leased capacity at the facility but not yet sent LNG there. |
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