The MENA Region's 5 Most Important LNG Projects

Lebanon LNG terminal

Project commencement: 2013

Commission date: 2015

Location: Baddawi, Northern Lebanon

Ownership: Tendering now

Capacity: 3.5 million tonnes per annum (mtpa)

With constant blackouts and power cuts affecting the tiny Levantine nation since the end of its civil war, Lebanon has dedicated its energy future to LNG with the Ministry of Energy claiming that Lebanon "would save more than $1 billion in spending on its energy bill, with a $2 billion impact on the economy as a whole."

The project will include a floating plant for LNG regasification and an offshore floating terminal for receiving LNG shipments.

Fujairah LNG Terminal

Project commencement: 2012

Commission date: 2014

Location: Fujairah, United Arab Emirates

Ownership: Mubadala Development Co. and International Petroleum Investment Co

Capacity: 3.5 million tonnes per annum (mtpa)

Fujairah is the only one of the seven federated constituents of the UAE to be located on the Gulf of Oman as opposed to the Persian Gulf, and is therefore a perfect location to bypass the geopolitically chokepoint the Straits of Hormuz.

Through the Fujairah terminal, the UAE will be able to secure the supply of Qatari LNG should there be an escalation of Iran’s worsening diplomatic situation.

Arzew LNG Terminal Expansion (GL3Z)

Project commencement: 2008

Commission date: 2013

Location: Arzew, Algeria

Ownership: Sonatrach

Capacity: 4.7 million tonnes per annum (mtpa)

Algeria’s state-owned hydrocarbon company, Sonatrach, is adding a third train (GL3Z) to its facility in the north-western port town of Arzew.

Feedstock for the new train will be supplied from the Gassi Touil and Rhourde Enouss gas fields in the interior of the country for exports to the European market.

Bahrain LNG Import Terminal

Project commencement: Tendering now, aiming for 2012

Commission date: Q4 2014/Q1 2015

Location: Khalifa bin Salman Port, Hidd, Bahrain

Ownership: NOGA

Capacity: 3.0 million tons/annum

Like many of the Middle East’s developing nations, the island kingdom’s burgeoning population and concomitant energy needs is turning the island kingdom into an energy-hungry hotspot.

Bahrain’s first LNG terminal will aim to import 400 million cubic feet of natural gas per year for the domestic market and further export use, with Russian firm Gazprom mooted to be negotiating a 3 million tons/annum import deal.

Jordan LNG Import Terminal

Project commencement: Tendering now

Commission date: 2014

Location: Aqaba, Jordan

Ownership:

Capacity: 3.0 million tons/annum

Jordan’s population has doubled in the last 20 years, and with scant native energy reserves, the Hashemite Kingdom is currently spending around a quarter of its annual GDP on energy imports.

Since the "Arab Spring" and disruption of Egyptian gas exports, applying enhanced oil recovery techniques to the mature Risheh natural gas fields in the northwest of the country was seen as the preferred solution to try bridge the growing energy gap. The initiative has since been put on the backburner due to cost, with long-term LNG importation seen as a lesser expenditure, and Qatar the likely import partner.

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