French oil and gas major Total announced Thursday that it increased stake in the world-class Ichthys liquefied natural gas (LNG) project to 30 percent through the acquisition of a further 6-percent interest from its partner, the Japanese firm INPEX.
In a statement, Total said that the acquisition will not have an impact on any of the LNG offtake agreements that have been arranged, with the entire annual production of LNG (8.4 million tons per annum) having already been sold for 15 years. Total has agreed to buy 0.9 million tons per year of LNG from the Ichthys project.
"We are delighted to have increased our stake which demonstrates our confidence in this world class Ichthys LNG project. This further enhances our presence in Australia and our position as supplier in the Asian LNG market, the fastest growing market offering high value prices linked to oil. This move also consolidates Total’s strategy as a leading LNG player." Yves-Louis Darricarrère, president of Total Exploration & Production, said in a statement.
Ichthys is one of Australia's biggest undeveloped gas projects, which is estimated to contain recoverable reserves of 12.8 trillion cubic feet of natural gas.