On Wednesday 11 February Statoil announced its letter of intent (LOI) with Dominion regarding the proposed expansion of the Cove Point liquefied natural gas (LNG) facility. The group is very pleased to have this special business opportunity.
Regrettably, Statoil's web site originally stated in error that the LOI with Dominion is "non-binding". While this mistake was quickly rectified on the web site, some news organisations had apparently picked up on, and reported, the error in their stories. This release is intended to correct the record.
The terms of the LOI are binding for the two companies. The Cove Point transaction is subject to the successful negotiation of a final agreement and approval by the supervisory bodies of both companies.
Statoil is pleased to continue working with Dominion for the group's important and expanding position in the US LNG and gas markets, with Cove Point as its anchor. The group is looking forward to further strengthening its excellent business relationship with Dominion.