Bloomberg News

BG Plans to Sell Half Stake in Chilean Liquefied Gas Plant

February 24, 2012

(Adds comment from head of BG Group’s Chile unit in fourth paragraph.)

Feb. 23 (Bloomberg) -- BG Group Plc plans to sell half of its 40 percent interest in the Quintero liquefied natural gas plant on Chile’s central coast as it focuses on developing natural-gas fields in the U.K. and Brazil.

BG, based in Reading, U.K., plans to keep 20 percent of the plant and will consider an expansion with other shareholders that include state-owned oil refiner Empresa Nacional del Petroleo, Empresa Nacional de Electricidad SA and Metrogas SA, country head Diego Hollweck said in a telephone interview today.

BG may sell as much as $5 billion in assets around the world as the company invests in oil and gas fields in Brazil, the North Sea and Australia, the company said in a Feb. 9 statement.

The plan to divest the Chile stake mirrors the company’s efforts to sell stakes in plants in countries such as India and the Philippines, Hollweck said. “Quintero is still an outstanding investment.”

The divesture will not affect a supply contract that BG owns to sell LNG to Chile, Hollweck said. Chile, the world’s largest copper producer, imports more than 90 percent of its fossil fuel needs.

--Editors: Jessica Resnick-Ault, Dale Crofts

To contact the reporter on this story: Matthew Craze in Santiago at mcraze@bloomberg.net

To contact the editor responsible for this story: Dale Crofts at dcrofts@bloomberg.net


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