It is reported that state-owned company Iran LNG Co. plans to build a $5bn LNG plant to export fuel to both Asia and Europe, with a capacity to produce between 10.5 and 10.8 million tpy.

The plant will deliver its first cargo by the end of December 2010 at the Asia Gas Congress in Beijing and the company plans to sign contracts with 3 potential partners in the next 3 months, according to the company’s managing director.

Iran LNG will export 60% of the plant’s output to Europe and the remaining 40% to Asia, while supplies for the plant will be sourced from Phase 12 of the South Pars field which is able to produce 3 million cubic feet per day of natural gas.

Initially with only 2 production units, Iran LNG plans to double the facility’s capacity by adding another 2 units, or ‘trains’, by 2014.