'bertl05' pid='12811' datel Wrote:
'Tree' pid='12799' datel Wrote:Hey Lib, Your post induces me to post a theory I've been hatching. EWC was initially IOC's prefered LNG producer as the terms were unprecedented. 1.5 yrs. ago Phil said 'the world now knows what our deal is and what it takes to partner with us' refering to EWC's deal. What I think has happened was this. We know, after approval, EWC was black-balled by DPE and IBs solicited alternate proposals. Those bids were coming in substantially below EWC's terms for both IOC and PNG as EWC was no longer the benchmark for bidders. IOC had been steadfast promoting IOC to PNG as the best option.
A combination of low bids, labor shortages, conventional project costs overuns and lobbying of O'Neill/DPE led to a 'significant meeting' a couple of weeks ago. I think at that meeting, EWC was agreed to by O'Neill as an approved solution for Gulf LNG 'if' IOC chose them as winning bidder. Indo site visits of EWC facilities were made by O'Neill as part of his DD. We do know that EWC technology is endorsed by JP and Mitsui was willing to finance a $1 billion CSP to make EWC possible. We learned in CC yesterday that Gulf LNG is endorsed by NEC/O'Neill and EWC is still 'in the mix' and they are financable.
I think EWC has returned as the bidder to beat and final offers are now being solicited to possibly attract a proposal with even better terms. I agree this could well happen quickly.
Palm I think you are correct here. However if correct there still could be substantial hurdles to overcome. I was told in no uncertain terms that some of the bidders , one consotium in particular was dead set against using EWC and would only consider modules built in their own country (financing would have been provided by their govt, hence that caveat). From my understanding this group was in the catbird seat as a bidder, a real solid bid and overall offer.
So either they change their mind about EWC (possible, but unlikely) or there is another bidder with a comparable offer in terms of price and financing.
It really stood out to me that ONeils press release made a point f adding in the international operator requirement again, and that they made a point of the cancelling notice being officially suspended, not cancelled. My interpretation is that the disdain that DPE and Petromin has held for IOC has not evaporated (not that it matters if IOC gets an approved deal) I also think this disdain is the reason they want to separate themselves from IOC with their share of the gas. Overall I see the realtionship as still quite contensious.
In any case we still must have a international operator that will give ewc modules the nod . Thats very possible, I just dont see it being the JKM group.
Do not refer to Tree's posts as posts from Palm. They are fighting for rankings and it causes bad blood. hohoho