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CASE 10 339

Further reading

Anthonissen, P. (2008), Crisis Communication: Practical PR Strategies for Reputation

Management and Company Survival. London: Kogan Page.

Meerman Scott, D. (2008), Th e New Rules of Marketing and PR: How to Use News Releases, Blogs,

Podcasting, Viral Marketing and Online Media to Reach Buyers Directly. Hoboken, NJ: Wiley.

Ruff , P. and Stittle, J. (2003), Managing Communications in a Crisis. Aldershot and Bunlinston,

VT: Gower.

Schenbler, I. and Herrling, T. (2003), Guide to Media Relations. Upper Saddle River, NJ:

Pearson Prentice Hall.

Tench, R. and Yeomors, L. (2006), Exploring Public Relations. Harlow: Pearson Education.

Van Ruler, B., Vercic, T. and Vercic, B. (2008), Public Relations Metrics: Research and

Evaluation. Mahwah, NJ: Lawrence Erlbaum Associates.

Wilcox, D. and Cameron, G.T. (2008), Public Relations: Strategies and Tactics. Harlow: Pearson

Education.

Public Relations Review , http://www.elsevier.com.

CASE 10:

SUEZ: liquefied natural gas in New England

The liquefied natural gas (LNG) industry was developed to

link gas reserves in places like Indonesia, Algeria, Equatorial

Guinea, Norway, Trinidad and Venezuela with regions in

need of natural gas. Japan and Korea, for example, import

LNG to fulfil almost all their natural gas needs. Also, about

half of Spain’s natural gas needs are met by LNG imports.

Like many other countries, the USA also satisfies part of its

gas needs by using LNG. One of the top LNG importers to

the USA is SUEZ (by means of its subsidiary SUEZ LNG NA/

Distrigas). This case focuses on SUEZ and the PR activities it

engages in to enhance its ability to sell LNG in Massachusetts.

Company background

SUEZ is an international industrial and services group which is

active in sustainable solutions in the management of electricity,

gas, energy services, water and waste management. It is the

top independent producer of electricity in the world, the second

buyer and the top distributor of natural gas in Europe. SUEZ

employs approximately 219 000 people worldwide, earns about

$90.7 billion in revenues, and invested $11 billion in 2011.

SUEZ LNG NA is the business unit of SUEZ Energy North

America which manages the company’s LNG activities in

North America. Its Everett Terminal in New England, the

first LNG import terminal in the USA, started to operate in

1971. The Everett Terminal currently provides about 20% of

New England’s natural gas needs, and LNG facilities as a

whole are able to meet 35% to 40% of the region’s natural

gas demand on peak days. SUEZ’s role in the power pro-

duction of New England is also critical. The Everett Terminal

has connections to two interstate pipeline systems and to

a local distribution company’s system. Through these con-

nections, it serves nearly all of the gas utilities in the region

and key power producers, including a power plant which

can generate enough electricity for about 1.5 million homes

each year in Greater Boston. Since New England lacks under-

ground natural gas storage, the terminal supplies LNG via

truck to a network of local, customer-owned LNG storage

tanks. SUEZ has about 40 customers who receive natural

gas in vapour or liquid form, or a combination of the two.

What is LNG?

LNG is the same natural gas used by millions of people for

heating and cooking, but in a different form. When natural

gas is cooled to − 260 ° Fahrenheit (− 162 °C), it liquefies and

reduces to 1/600th of its original volume. This allows LNG

to be transported and stored efficiently and economically.

Moreover, LNG is neither explosive, corrosive, carcinogenic

nor toxic. It does not pollute land or water resources. LNG

is not transported or stored under pressure, and natural gas

vapours do not catch fire as easily as those of other fuels.

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