Tuesday, June 28, 2005

One Ventura LNG proposal abandoned

The Crystal Energy proposal to build a liquefied natural gas terminal on Ventura County's Platform Grace is a thing of the past.

Australia's Woodside Petroleum Ltd. (ASX: WPL.ax) and Houston-based Crystal Energy LLC have ended an agreement to jointly develop a $350 million liquefied natural gas (LNG) import terminal off the United States' west coast.

Australia's biggest independent oil and gas producer said it would consider developing its own LNG terminal to supply the United States, where it forecasts LNG demand to grow more than eight-fold over the next 20 years.

"Both companies will continue discussions over the supply of LNG to Clearwater Port, although Woodside will concurrently consider the possible development of its own LNG receiving terminal off California," Woodside said in a statement to the Australian Stock Exchange on Monday.

Plans remain intact for the Cabrillo Port off the Oxnard coast and for the Mitsubishi/Sound Energy terminal in Long Beach.