BRIEF-PETRONAS COMMENTS ON PROSPECTS AROUND ITS LNG PROJECT IN BRITISH COLUMBIA
Oct 6 (Reuters) - PETRONAS Capital Ltd : * Statement by Petronas president & group CEO tan sri dato' shamsul azhar abbas
regarding lng development in British Columbia * Says encouraged by the commitment expressed by the British Columbia gov't
regarding the pacific northwest lng project during recent meetings * Says agreed with gov't on clear milestones, action plans and deliverables for
both parties to alow for a final investment decision by mid-December 2014. * Says it will also continue to work with the government of Canada and its
agencies to advance the regulatory process and clarify the fiscal framework * Says believes that the pnw lng project has the ability to monetise, add value
and link bc natural gas to the global market * Says nonetheless reality is global lng market is facing potential overhang
and decreasing demand putting downward pressure on lng prices * Says proposed fiscal package and regulatory pace in Canada threatens the
global competitiveness of the pnw lng project * Says current project economics appear marginal: without material cost
reduction efforts it will have a hard time reaching a positive fid by
mid-December * Says next few weeks will be critical in ensuring that commitments made during
the last meeting will be followed through * Says t needs to secure consensus on key principles vital to the success of
this project by the end of October * Rpt-petronas says it needs to secure consensus on key principles vital to the
success of this project by the end of october * Says missing this date will have the impact of having to defer its
investments until the next lng marketing window, anticipated in 10-15 years * Comments on prospects around its lng project in British Columbia