Dubai: An LNG import terminal is to be built in Fujairah on the Indian Ocean, following official government approval, negating the need for gas imports to the UAE to pass through the Strait of Hormuz.
Emirates LNG, a joint venture between UAE state-run International Petroleum Investment Co and Mubadala Petroleum, will run the terminal which will have a 9m tonne annual capacity.
A floating terminal is the most likely option for the gas facility.
The UAE has increasingly turned to gas imports over the past five years as energy demand has outstripped domestic gas capacity. [13/11/13]