Polskie LNG Sp zoo has shortlisted three consortia, led by Saipem SpA (SPM.MI), Maire Tecnimont SpA, and Daewoo Engineering & Construction Co Ltd (047040.SE), to make initial offers to build a liquefied natural gas terminal in Poland, the state-owned company said in a statement Monday.
The three potential general contractors of the planned LNG terminal, which could cost as much as an estimated EUR700 million ($1 billion), have until the end of the year to submit offers.
The terminal, to be located on Poland's Baltic coast near the border with Germany, is part of the central European country's drive to diversify its potential gas supply sources.
Polish construction firm PBG SA (PBG.WA) belongs to Saipem's consortium, while domestic rival Polimex-Mostostal (PMX.WA), belongs to Tecnimont's, Polskie LNG said.
Polskie LNG is a unit of state-owned Polish gas pipeline operator Gaz-System SA.
After the select group submit initial offers, Polskie LNG will hold talks with all of them. They will then have until April 12, 2010 to submit binding offers. An agreement is expected by May 2010 at the latest.
The terminal, scheduled for completion in mid-2014 and with an initial capacity to deliver 5 billion cubic meters of gas a year, will be able to meet about one third of Poland's current annual gas consumption.
Topped up with local gas production, it could radically change the current situation in which Russia accounts for 60% of Poland's gas supply.