Exxon over a barrel with Gorgon LNG deal
Gorgon LNG nearing completion. The project has been hit by delays and cost overruns. (Chevron)
Fresh from renegotiating a long-term LNG contract with Qatar’s RasGas, India’s Petronet is reportedly lobbying ExxonMobil to revise the price of its 20-year supply contract with Gorgon before the project’s scheduled startup later this quarter.
If successful, it could open the floodgates for a host of renegotiation requests from Gorgon’s other buyers, which have seen the Western Australian venture face delays and cost blowouts since lead developer Chevron took an FID in September 2009.