EU Commission Clears Angolan LNG JV

EU Commission Clears Angolan LNG JV

The European Commission has cleared the proposed acquisition of joint control over the Angolan company Angola LNG by BP of the UK, Chevron Global Energy of the US, Eni of Italy, Sonangol of Angola and Total of France.

The joint venture will be active in the production of LNG in Angola and the worldwide supply of LNG. The Commission found that the transaction would not raise competition concerns because of the joint venture’s moderate anticipated market share, the presence of a number of credible competitors in the market concerned and competitors’ unchanged ability to access re-gasification terminals.

The joint venture would transform natural gas, obtained as a by-product from oil production and transported along pipelines to its liquefaction plant in Angola, into LNG. The LNG would then be sold to customers around the world for re-gasification.

The parties’ activities overlap in the market for the wholesale supply of LNG in the EEA. Given the JV’s moderate anticipated market share and the presence of a number of credible competitors, the Commission found that the joint venture and its parent companies will continue to face sufficient competitive constraints on the market for the wholesale supply of LNG. Although three of the parent companies (Total, Eni and BP) hold capacity rights in re-gasification terminals in the European Economic Area (EEA), they will not be able to shut out third parties from accessing them because EU law ensures third party access to gas import infrastructures, including re-gasification terminals. Thus, the creation of the joint venture does not lead to any change as regards competitors’ ability to access gas import infrastructures.

The Commission therefore concluded that the transaction would not impede effective competition in the EEA or any substantial part of it.

LNG World News Staff, May 16, 2012; Image: Bechtel

Share this article

Follow LNG World News


<< Oct 2016 >>
26 27 28 29 30 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30
31 1 2 3 4 5 6

European Autumn Gas Conference

EAGC will continue to explore micro commercial, strategic and political influences which are driving the EU Natural Gas and LNG agenda…

read more >

The Rio Oil & Gas Conference 2016

Rio Oil & Gas 2016 will address topics from energy efficiency to sustainable Oil & Gas industry…

read more >

The 7th Annual Floating LNG USA 2016

The 7th Annual Floating LNG USA 2016 will bring together over 65 speakers from every part of the FLNG value chain…

read more >

LNG Pricing, Trading & Risk Management: 2-Day Course

This is a highly practical course in which participants will receive and use the LNG Analysis Toolkit…

read more >