RTTNews reported that China Petrochemical Corp or Sinopec Group agreed Sunday to acquire an additional 10% stake in Australia Pacific LNG Project boosting its stake in the project to 25%. The additional stake purchase is in return for Sinopec agreement to purchase an additional 3.3 million tonnes per year of LNG from Australia Pacific LNG through to 2035 from mid-2015.

Australia Pacific LNG project is 50:50 coal seam gas to liquefied natural gas joint venture between Origin Energy Ltd and ConocoPhillips that was formed in September 2008. Australia Pacific LNG project includes the development of Australia Pacific LNG's substantial coal seam gas resources in the Surat and Bowen Basins over a 30-year period, a 530 kilometres transmission pipeline, and a multi-train LNG facility on Curtis Island, near Gladstone.

Jim Mulva CEO of ConocoPhillips said in a statement that "Today's signing completes marketing of the second LNG train and is an important milestone for the Australia Pacific LNG project. We are pleased to announce that Sinopec, a world-class energy company, will have an increased equity shareholding in Australia Pacific LNG."

The proposed Sinopec deal to acquire an additional 10% stake in Australia Pacific LNG will now reduce ConocoPhillips and Origin Energy ownership interest in the Australia Pacific LNG Project to 37.5% each from 42.5% each.

The proposed deals are subject to approvals by the Chinese Government and in Australia, the Foreign Investment Review Board and are conditional on Australia Pacific LNG reaching a final investment decision on the second LNG train which is expected in early 2012.

(Sourced from RTTNews)