Update on LNG Project

Greetings,
These are the latest events related to the Jose LNG project:
A working group from the Ministry of Energy is furiously working to finish
the Gas Availability Report to be presented to the Ministry of Energy by the
end of this month. The balance of gas is the variable that, according to the
Ministry, will determine the fate of gas export projects. PDVSA-Gas is very
optimistic that the gas will be there (they are participating in the working
group, and pushing for a positive outcome).
The E&P Gas Round bid is proceeding according to schedule. Bids are expected
by the end of June and there seems to be significant interests from
participants. The Gas Availability Report would be made public after the bid
date, sometime in July (we would know before then, however).
Although a successful round will definitively help the project, the threshold
for success seems to be relatively low. If only two or three of the nine
fields are allocated, the round will still be considered successful. Even if
the fields are not allocated in this round, PDVSA-Gas would develop some of
them, and the LNG project would still be approved.
Regards,
ALF