|
|
|
|
||
JP Morgan In Deal With LNG Firm, Cheniere EnergyIt is funny. All the bashers talking about the glut of NG and Shale in the US and how NG is almost worthless, one would think a company that builds LNG import terminals on the US would be about the worst investment in the world. I guess JP Morgan doesn't feel that way.
HOUSTON, March 31 /PRNewswire-FirstCall/ -- J.P. Morgan (NYSE: JPM) and Cheniere Energy, Inc. (NYSE Amex: LNG) announced today that they have entered into a multi-year agreement whereby the two firms will utilize their combined expertise in the global liquefied natural gas (LNG) market. Under the agreement, J.P. Morgan gains capacity rights at Sabine Pass in Louisiana, the largest LNG terminal in North America, and a host of business opportunities originated through Cheniere's experienced LNG marketing team. Cheniere, which owns and operates the Sabine Pass LNG receiving terminal, will benefit from J.P. Morgan's client relationships financial expertise and strong balance sheet. "We are excited to broaden our relationship with J.P. Morgan and provide them with services necessary to successfully expand their capabilities in the global LNG markets," said Davis Thames, President of Cheniere Marketing, LLC. "We believe this arrangement allows us to source LNG with the support of a strong balance sheet and to utilize our capacity at Sabine Pass and our network of relationships in the most effective way. The combination of our LNG assets and know-how and J.P. Morgan's extensive global client franchise will enhance opportunities for both Cheniere and J.P. Morgan, enabling us to provide more services to our LNG suppliers and gas customers." "Working with Cheniere's team dramatically enhances our ability to serve our energy clients around the world," said Paul Posoli, head of Global Power, Gas, Coal and Emissions at J.P. Morgan. "This agreement complements our existing global gas business and further diversifies the offerings we can deliver across regions." The LNG market has grown significantly over the past decade and global production capacity is expected to increase to approximately 37 billion cubic feet per day (Bcf/d) this year, up from 16 Bcf/d in 2000. As a major hub, the Sabine Pass LNG receiving terminal is able to send out 4 Bcf/d and has a storage capacity of 16.9 Bcfe. |
return to message board, top of board |