Tractebel Digests Cabot LNG
Tractebel of Belgium last week completed the purchase of Cabot LNG,
the largest U.S. importer of liquefied natural gas, from Cabot Corp., in
a deal worth $680 million.
The agreement to purchase was originally signed by the two companies
on July 13 (see NGI, July 17). Cabot LNG
is the only active importer and distributor of LNG on the East Coast, supplying
20% of the annual New England gas demand.
The deal gives Tractebel a firm foothold in the physical gas markets
in the north east market area, and complements the activities of its trading
arm TEMI. Tractebel intends to double the Cabot LNG terminal's capacity
in the near future, with half of the expanded capacity already committed
to long-term sales contracts (see NGI, Sept.
The deal will give Tractebel the LNG terminal in Everett, MA, operated
by subsidiary Distrigas of Massachusetts, along with a 10% interest in
a liquefaction facility in Trinidad and Tobago and the LNG tanker, Matthew.
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