The Energy Market Authority (EMA) is pleased to appoint BG Asia Pacific Pte Limited (BG) as the Liquefied Natural Gas (LNG) Aggregator for Singapore [1].

The appointment of BG was announced today by the Chief Executive of the Energy Market Authority, Mr Khoo Chin Hean. Mr Khoo said, "BG was selected for the attractiveness of its total solution for Singapore, including security of supply from BG’s diverse LNG supply portfolio at a competitive price and also its capability to grow the Singapore gas market."

Mr S Iswaran, Senior Minister of State for Trade and Industry said, "We are pleased to welcome BG as a key player in our energy sector. As the LNG Aggregator, BG will play a strategic role in Singapore’s energy diversification efforts. We have taken a significant step into the global LNG market and with the entry of BG, Singapore will gain greater access to competitive, reliable and secure gas supplies from different parts of the world."

BG and EMA have today entered into a Memorandum of Agreement (MoA) which is a comprehensive contract detailing BG’s responsibilities in the role of the Aggregator.

The role of the Aggregator is to aggregate demand for regasified LNG from all end-users of gas in Singapore, and to procure LNG supply for these end-users. BG will have an exclusive licence to import LNG and sell regasified LNG in Singapore for a demand of up to three (3) million tonnes per annum (Mtpa) starting in early 2012.

EMA welcomes BG to its new role here in Singapore.

EMA would also like to express its thanks to all the other companies that participated in the Aggregator selection process.
Some of the companies participating in the Aggregator selection process have requested EMA to keep their participation confidential. EMA will therefore not disclose the names of any of the participating companies.

[1] Please refer to Appendix 1 for the background of LNG in Singapore.

For media enquiries, please contact:
Ms Chung Puay Noi, Manager, Corporate Communications
Tel: 6835 8012 (Office) 6835 8020 (Fax)
Email: chung_puay_noi@ema.gov.sg

Ms Jenny Teo, Director (Designate) (Corporate Communications)
Tel: 6835 8186 (Office) 6835 8020 (Fax)
Email: jenny_teo@ema.gov.sg

18 April 2008

Appendix 1
Note to Editors
Background of LNG in Singapore

On 7 August 2006, Mr Lim Hng Kiang, Minister for Trade and Industry announced that Singapore would build an LNG terminal to import LNG to diversify its sources of energy and to meet Singapore's rising future demand for energy.

On 4 September 2007, Mr S Iswaran, Senior Minister of State for Trade and Industry announced that EMA would call a Request for Proposals (RFP) for interested parties to participate in Stage One of the selection process for the LNG Aggregator. Interested parties were then invited by EMA to submit their business concepts for the Aggregator role.

A total of 18 proposals involving 22 companies were received when the Stage One RFP closed on 4 December 2007. Five companies were subsequently shortlisted based on the criteria set out in the Stage One RFP document.
From this shortlist, BG has been appointed on 18 April 2008 to fulfill the role of the LNG Aggregator.

About Energy Market Authority (EMA)

EMA was established in the 2001 to forge a secure, long-term electricity industry that thrives on healthy competition. New market structures have been created to promote competition in the electricity and piped gas industries. EMA will also continue to promote cost competitive outcomes for consumers by ensuring a level playing field for competition within the electricity and piped gas industries.

About BG, Appointed LNG Aggregator for Singapore

BG Group plc (LSE: BG.L) is a world leader in natural gas, with a strategy focused on connecting competitively-priced resources to specific, high-value markets. Active in 27 countries on five continents, BG Group has a broad portfolio of exploration and production, Liquefied Natural Gas (LNG), transmission and distribution and power generation business interests. It combines a deep understanding of gas markets with an excellent track record in finding and commercialising reserves.

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