Seeking to add to its growing total of liquefied natural gas(LNG) deliveries at the Lake Charles, LA, complex, CMS Energyannounced a master agreement with Abu Dhabi Gas Liquefaction Co.(ADGAS) yesterday for the purchase of spot cargoes from ADGAS toCMS Marketing, Services and Trading (CMS-MST). The volumes to bedelivered pursuant to the master agreement will be determined basedupon available production and market conditions, the company said.Financial terms or specific conditions within the agreement werenot disclosed.

The shipments will come from the ADGAS facilities located in theport of Das Island, Abu Dhabi, United Arab Emirates. John Barnett,a spokesman for CMS, said the agreement sets many major conditionsthat will allow the two entities to perform future deals faster. Hesaid CMS has multiple master agreements with other “large LNGproducers,” but would not specify.

“This master agreement..will pave the way for multiple LNGcargoes to be delivered to CMS,” said David B. Geyer, vicepresident of CMS-MST. “It allows the parties to react quickly tothe changing U.S. gas market and takes advantage of CMS Energy’sexpertise in LNG, gas trading and risk management skills.”

CMS not only stated its intentions to increase the amount ofdeliveries at the Lake Charles facility, it has aggressively workedto achieve that goal. Last week, CMS and Coral announced anagreement for 13 Coral shipments to be delivered to the LakeCharles complex over the next two years. CMS pointed to the strongprices of natural gas, combined with the ready availability of LNG,as reasons why LNG import operations are attractive (see Daily GPI,Oct. 7).

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