Spain’s third-largest power utility, Union Fenosa, is talking to several companies interested in participating in its LNG plant in Egypt. Jose Javier Fernandez Martinez, a deputy general manager with Union Fenosa, said the company was also evaluating two offers for an engineering procurement contract for the Danietta LNG plant on the Mediterranean and could make an announcement in the next three to four days. Rumours have abounded for months that Union Fenosa could be in talks with BP, which is also planning an LNG plant in Damietta, and possibly Shell, which in addition to an LNG facility was looking to add a gas-to-liquids plant. Fenosa’s Egypt plant envisages two trains each of four billion cubic metres (bcm), with the first train completed in 2004. It has agreed to buy some 4 bcm of gas from the Egyptian General Petroleum Corp.
