Government deliberation delays progress on gas terminal

18 January 2008
Jorf Lasfar is understood to be the preferred location for the kingdom’s first terminal to receive liquefied natural gas (LNG), but the wait for government approval is delaying further progress on the project.

Belgium’s Tractebel, which carried out feasibility studies on the project, has approved three proposed sites, according to a source for one of the three developers, local refining company Societe Anonyme Marocaine de l’Industrie du Raffinage (Samir).

The choice is between Jorf Lasfar in the southwest, Tangiers in the northwest and Moham-media, located between the two.

“Mohammedia might be the cheaper option, but it is a big industrial city with a refinery, port and power plant,” says the executive.

“It will be difficult to build an LNG terminal there. Jorf Lasfar might be the best option.”

Rabat was expected to make a decision on location of the terminal by the end of 2007, but delib-erations are still ongoing. A new target date has not yet been specified.

The Energy, Mines, Water & Environment Ministry was unavailable for comment.

The project is also yet to secure a source of gas. “We do not know where the gas will come from yet,” says the spokesman. “We might need some additional studies or advisers.”

Studies are on hold until a decision is made on a location.

The project, due for completion in 2013, aims to help the kingdom boost the share of gas in its energy mix to 20 per cent from 3 per cent.

The local Akwa and state energy company Office National de l’Electricity are the other partners.

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