Dana Gas and Single Buoy Moorings (SBM) sign Co-operation Agreement

Dana Gas has the objective to develop a network of LNG terminals mainly in the MENA region and to tap into the LNG value chain including LNG trading activities. The agreement was signed in Paris on the sidelines of the 11th International Gas Summit by Mr. Hamid Dhiya Jafar, Executive Chairman of Dana Gas and Mr. Didier Keller, Chief Executive Officer of SBM. The newly formed alliance will initially target LNG Terminal projects in Pakistan, Lebanon and Kuwait.

Within the alliance, Dana Gas will be more particularly involved in the LNG marketing activities and SBM in the supply and operation of LNG floating storage and regas terminals.

Additionally, Dana Gas, SBM and Granada Group of the USA have signed at the same time a Memorandum of Understanding for the development of an LNG Terminal at Port Qasim, Karachi, Pakistan at an estimated cost of $200 million for an initial capacity of 3.5 MTPA. It was revealed that the newly formed Consortium is quite advanced in the definition of the terminal and has progressed in the requisite applications for site allocation and import licence, and is in discussions with major LNG producers .

'Through this key agreement, we are delighted to partner with SBM, a world leader in providing comprehensive offshore solutions for the oil and gas storage, production and offloading. We anticipate this to be the beginning of a fruitful relationship of mutual cooperation and benefit, which will add value both to the LNG producers and the newly emerging gas markets',

said Mr. Rashid Al Jarwan, General Manager of Dana Gas.

Natural gas consumption in the Middle East has been growing by an average of 5.9% per annum over the past 10 years, driven mostly by demand for power generation caused by growing populations and rapid urbanization, and industrial sector. In addition, Global trade in Liquefied Natural Gas (LNG) has grown by an average of 7.5% per annum, and the number of countries installing the infrastructure necessary to trade in LNG have almost doubled during the same period.