DMCC, Techno Park and LNG Impel explain bidding process for storage capacity

Dubai, September 25, 2006: Plans to set up a Liquefied Natural Gas (LNG) Storage Hub in Techno Park Dubai moved a step closer to completion, with a closed-door meeting of gas industry leaders and the main sponsors of the project. The Dubai LNG Storage Hub is a joint venture project between Dubai Multi Commodities Centre (DMCC) and LNG Impel and will be based at Dubai Techno Park.

The audience of senior managers from the gas industry was given an overview of the planned Dubai LNG Storage Hub. The attendees were also informed of the details of the ongoing bidding process for storage capacity.

Due to be completed in 3 phases between 2011 and 2013, the project will offer a facility for LNG to be stored before being delivered to markets in North America, Europe and Asia. The first phase is expected to be completed by 2011.

"Natural gas is seen by most developed countries as the fuel of the future as it is cleaner than oil and coal. However, LNG prices have witnessed extreme volatility recently, with prices in Asia, Europe and North America touching considerably high levels," said Ahmed bin Sulayem, Chief Operating Officer, DMCC. "The availability of a storage facility in Dubai will enable suppliers and buyers to better manage their financial and physical supply pressures and thus ensure uninterrupted supply of LNG," he added.

"The LNG Storage Hub will offer customers the ability to store, trade and plan supplies of LNG in addition to providing other services such as LNG loans and LNG quality blending," said Thom Dawson, President of LNG Impel. "As the first such facility in the world with an expected total storage capacity ranging from 40 - 65 billion cubic feet (bcf), the Dubai LNG Storage Hub will meet the demands of the industry as LNG becomes a globally traded commodity," he added.

"We are working closely with DMCC and LNG Impel to strengthen Dubai's role in regional energy distribution," said Hamad Al Hashemi, Managing Director, Techno Park, where the Storage Hub is located.  "Its location enables LNG suppliers and customers to leverage the geographical advantage offered by Dubai's position on the trade routes to the main consuming markets," he added.

-Ends-

Editors' Note
About the Dubai Multi Commodities Centre - Energy Division
The Dubai Multi Commodities Centre, a strategic government initiative, rated 'A' by Standard & Poor's, provides innovative concepts and industry-specific physical and market infrastructure products that facilitate the growth of the energy (alongside other commodities) business in Dubai. DMCC's strategic objectives include reinforcing Dubai's position as the energy hub for the region, in addition to the development and launch of energy contracts for the Dubai Gold and Commodities Exchange (DGCX). DMCC is working with partners, regionally and internationally, to promote the highest global standards in product and service development, while encouraging greater transparency to the benefit of all market participants.  DMCC facilitates businesses in Dubai through its free zone status.

www.dmcc.ae

About Techno Park
Techno Park is the first technology park of its kind in the region and it represents a local economic zone that is bound by UAE laws. The park was established to ensure maximum utilization and development of the regional resources by high profile companies, to match investor expectations. It complements the unsurpassed growth that Dubai is witnessing, making it an ideal destination for all kinds of businesses.  The main industries that the Park caters to include Desalination and Water, Hi-Tech, Oil & Gas, and Research & Development.

www.technopark.ae

About LNG Impel
LNG IMPEL is a wholly-owned subsidiary of Galveston LNG Inc. (www.galvestonlng.com).  The company is focused on the development of LNG infrastructure and trading, and is also the parent company of Kitimat LNG Inc. Kitimat LNG Inc (www.kitimatlng.com) is developing Kitimat LNG Terminal, a LNG regasification and receiving facility scheduled for construction on the Pacific northwest coast of Canada that offers Pacific Basin suppliers shorter shipping times to North America and access to the largest natural gas market in the world. LNG IMPEL is operated from offices in Barbados, London, and Dubai.

Disclaimer:
The information contained in this release contains certain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. LNG IMPEL makes no commitment, and disclaims any duty, to update any of the information in this release.

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© Press Release 2006