Blogs and advice from Industry leading Specialists
Valuable Opinions, Comments & Gossip
Financial related News & Articles relating to Spain
Latest News, Stories
& Hot Topics
Various Tools & Widgets to help with your financial needs
Tools & Widgets to
help with finances
Polls, Surveys and Opinions featured throughout Tumbit
Featured Polls, Surveys & Stats
Discussions, Advice & Topical Chat
Discussions, Advice & Topical Chat

Spain's Repsol cancels LNG cargoes to Argentina

Source: Reuters - Sat 19th May 2012
Spain's Repsol cancels LNG cargoes to Argentina

Spain's Repsol has cancelled its contract to supply Argentina with liquefied natural gas (LNG), just weeks after the country seized control of the energy company's majority stake in YPF, a document obtained by Reuters on Friday showed.

Argentina relies on LNG imports to meet between 20 - 30% of domestic natural gas consumption. Repsol was to supply 10 cargoes to Argentina this year out of 80 from all suppliers to help meet peak demand from June to September.

Argentina's Planning Ministry said Repsol's cargoes had already been replaced by other providers "because we knew they would fail to comply, in the same way they did during all the years they controlled YPF."

Repsol said in a letter to Argentine state energy company Enarsa, dated May 17, that Enarsa had breached the LNG contract by seeking to renegotiate the price of shipments and modify the timetable for deliveries.

Earlier this month, an energy sector source said the Spanish company might halt its LNG sales.

Repsol said Enarsa's conduct and the Argentine government's "unlawful and discriminatory" takeover of YPF showed the country had "no intention of complying with, or continuing to be bound by, the agreement", according to the letter.

No one was available at Enarsa to comment.

Argentina has had difficulties securing LNG supplies due to tough price negotiations.

Comment on this Story

Be the first to comment on this Story !!

Related Partners

Recommended Items

Related Articles

Related Blogs