Supply Undetermined for Shell’s Elba Island Capacity

While the second expansion of the Elba Island terminal came online last week, Royal Dutch Shell has not said how it plans to use the new capacity. Shell had planed to acquire supply from Nigeria LNG, in which it owns a stake, but after contracting with terminal owner Southern LNG in 2003, Shell was unable to convince downstream users to agree to nitrogen injection to control the Btu content. Shell owns a stake in the Qatargas 4 liquefaction train, which will come on line in 2010. Yesterday’s Platts LNG Daily has the details. [Subscription required]

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