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2011 July 29   14:25

Ukraine prolongs tender on feasibility study for LNG terminal until August 22

The LNG Terminal National Project state-run enterprise has prolonged for two weeks the term for the submission of bids to draw up a feasibility study for construction of an LNG regasification terminal, Interfax reports.

The state agency for investment and national project management said that the decision to prolong the term was made on Thursday by the tender committee of the LNG Terminal National Project enterprise.

As reported, Ukraine on July 8 announced a tender to prepare the feasibility study for construction of an LNG regasification terminal.

As of July 15, 2011, a total of 44 international companies asked for technical documents to participate in a tender to draw up a feasibility study to build a liquefied natural gas (LNG) regasification terminal in Ukraine.

The preliminary project foresees the supply of the first consignments of liquefied gas amounting to two billion cubic meters per year by 2014, bringing the volume to five billion cubic meters per year by 2015 and to ten billion cubic meters per year by 2017.

Five sites for the construction of the terminal are being considered, in particular, a site near Odesa Port-Side Plant, a site near the oil depot of OJSC Ukrtransnafta (the two sites are located near the Yuzhny Port), a site near Ochakiv (Mykolaiv region), a site on the coast of the Berezansky firth (Mykolaiv region) and an offshore LNG terminal near Odesa.

The final cost of the terminal will be determined once the feasibility study is completed. However, according to preliminary estimates, construction of the terminal itself will cost from $750 million to $1 billion, associated infrastructure - $170 million to $360 million and the link with the gas transportation system - $100 million to $460 million, depending on which site is selected.

In late April the Ukrainian and Azeri presidents agreed that Baku would supply five billion cubic meters of gas for the LNG terminal to Ukraine every year.

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