Magnolia EPC Contractor JV Finalized

Liquefied Natural Gas Limited is pleased to advise that its wholly owned subsidiary, Magnolia LNG, LLC (MLNG) has achieved the milestone set for finalization of the Engineering, Procurement and Construction (EPC) Joint Venture Agreement (JVA) between the selected MLNG joint venture Contractor parties in support of continued advancement of the MLNG project.

KBR and SK E&C USA, who will deliver the EPC phase of the MLNG Project, have completed the execution of the formal joint venture agreement as per the previously announced schedule. The executed JVA calls for KBR to provide the Project Director for the Joint Venture, while SK E&C USA will provide the Deputy Project Director, with a 70%‐30% KBR‐SK ownership structure in the JV as originally planned. A three‐member Executive Committee (one member from SK and two from KBR) will be formed to provide oversight to the EPC execution team under the management of the Project Directors.

The project task force team will be located in the KBR Tower in downtown Houston, where project activities under the current Technical Services Agreements leading to the EPC Contract are underway.

Maurice Brand, the Company’s Managing Director and Chief Executive Officer, said “this signing of the Joint Venture Agreement formalizesthe EPC Contractor arrangement for Magnolia LNG that was established under the MOU originally signed between MLNG, KBR and SK E&C USA in December 2014. The JVA encompasses the full four‐train, 8 mtpa planned capacity of the MLNG facility and supports our planned transition into the EPC project phase in 2015.”