Jordan Cove Energy Project Enters Into Heads of Agreements with Prospective Customers
Veresen Inc. announced that its subsidiaries, Jordan Cove Energy Project L.P. and Pacific Connector Gas Pipeline, L.P., have entered into non-binding Heads of Agreements (HOA) with three Asian customers related to the proposed Jordan Cove LNG export facility located in Coos Bay, Ore. and its interconnected pipeline. The HOAs set out the commercial terms of the subsequent, binding, Liquefaction Tolling Services Agreement and Pipeline Service Agreement, which will be the subject of further negotiations between the parties. The volume of LNG capacity requested under each HOA either meets or exceeds a minimum 25% capacity threshold amount, under the initial six million metric tons per annum LNG development offering by Jordan Cove and Pacific Connector. The contract term under each agreement is proposed to be 25 years, with extension rights.