Orlen Files Arbitration Case Against Venture Global in LNG Spat - Bloomberg
Poland’s Orlen Files Arbitration Case Against Venture Global in LNG Spat - Bloomberg
Orlen Files Arbitration Case Against Venture Global in LNG Spat
- Polish oil and gas firm follows BP, Shell in dispute with VG
- Orlen wants deal to start immediately, may seek damages
The Venture Global Calcasieu Pass LNG export terminal in Cameron, Louisiana.Photographer: Francois Picard/AFP/Getty Images
Orlen SA lodged an arbitration case against Venture Global LNG Inc., alleging that the US liquefied natural gas exporter wasn’t honoring its long-term contract with Poland’s largest oil and gas company, according to people familiar with the move.
The Polish state-controlled firm followed other European oil companies, including Shell Plc and BP Plc, in filing a complaint against Venture Global saying that the US company failed to send LNG shipments under long-term contracts, while selling spot cargoes from its Calcasieu Pass terminal.
Have a confidential tip for our reporters? Get in Touch
Before it’s here, it’s on the Bloomberg Terminal
LEARN MORE
Up Next
Orlen Files Arbitration Case Against Venture Global in LNG Spat
Related Knowledge Center: Liquefied natural gas
Driven by plentiful natural gas produced from shale plays, the United States began exporting liquefied natural gas in 2016 when the Sabine Pass terminal in Louisiana opened and shipped its first cargo. Since then, additional capacity, or trains, have been added to Sabine Pass, and terminals have become operational in Cameron Parish, La.; Hackberry, La.; Cove Point, Md.; and Corpus Christi, Texas. The Energy Information Administration projects that U.S. LNG export capacity will reach 8.9 billion cubic feet per day (Bcf/d) by the end of 2019, making it the third largest in the world, behind Australia and Qatar. The tariff war with China has the potential to impact some final investment decisions for additional terminals in the coming months.