WARSAW–The construction of Poland’s liquefied natural gas terminal on the Baltic Coast is four months behind schedule, a critical delay that may stall the country’s talks on supplies of LNG from Qatar, daily Rzeczpospolita reports Friday citing unnamed sources.
The delay is caused by financial difficulties faced by the general contractors on the government-owned project, Italy’s Saipem SpA (SPM) and Poland’s PBG SA (PBG.WA), the daily says. PBG recently filed for bankruptcy protection, mostly due to losses on highway construction projects.
Polish state-controlled gas firm PGNiG SA (PGN.WA) plans to import 1.5 billion cubic meters of LNG a year and may have to unload carriers in different ports and face higher costs if the Polish port isn’t completed on time, the daily says.
Poland is building the LNG port, set for completion in 2014, as part of its efforts to reduce reliance on natural gas imported from Russia via pipelines.
Newspaper website: www.rp.pl
– Warsaw Bureau, Dow Jones Newswires