Risky Business? How risk is managed in LNG projects - part 2

摘要

LNG project developments face a number of business risks which need to be assessed effectively in order to make the commitments necessary for FID to be taken. Following on from part one which looked at pre-FID risk, subsurface risk, completion risk and operational risk, this second article considers how participants divide up cost risk, volume risk, price risk, regulatory risk, and counterparty risk. A third article will consider the major risks facing LNG players in the next few years, how these risks might play out, and how the different players might respond to those risks.