Teekay finalizing long-term charters for Tangguh

Bahama-based shipping firm Teekay Shipping Corporation confirmed Thursday that along with its Indonesian consortium partner, PT Fast Marine Services, it is in the final stages of negotiating long-term charters for two liquefied natural gas (LNG) carriers for the Tangguh LNG project in Indonesia?s easternmost province of Papua.

According to Teekay, the contractual relationship for the 20-year charters, if agreed, will be with The Tangguh Production Sharing Contractors, a consortium led by BP Berau. If the project is successfully concluded, in accordance with existing agreements, it will be offered to Teekay LNG Partners L.P.

Tangguh, which has capacity of 8MTPA, is slated to commence production in 2008, with production would be shipped to China, South Korea and west coast of North America. (alex)