The two countries have signed a memorandum of understanding (which is not legally binding) for the export of LNG from Qatar to Greece, and the construction of the necessary LNG terminals.
The agreement includes plans for the construction of a US$ 4.6 billion LNG import terminal in Western Greece, which will have a capacity of 7 million tpa of LNG. The terminal will be built by Qatar Petroleum, Qatar’s state oil company.
“This is a most welcome proposal for Greece at this time of economic hardship.” Said George Pandreou, Greece’s Prime Minister. Greece is currently starving for foreign investment after its economy went into meltdown earlier this year with a huge balance of payments deficit.
It represents a large leap of faith for Qatar to invest in the troubled country at such a time, but no doubt its decision has been influenced by the EU’s rescue plan. The EU and the IMF recently agreed a US$ 144 billion bailout to save the economy from total collapse.
To further investigate the project, the two countries are setting up a joint committee.
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/05052010/qatar_to_invest_in_greece/