Skip to main content

Delfin signs LNG SPA with Hartree

Published by , Editor
LNG Industry,


Delfin Midstream Inc. has announced that its wholly owned subsidiary, Delfin LNG LLC, has finalised a binding LNG sale and purchase agreement (SPA) with Hartree Partners Power & Gas Company (UK) Limited, a wholly owned subsidiary of Hartree Partners, LP.

Under the SPA, Delfin LNG will supply 0.6 million tpy on a free on-board (FOB) basis at the Delfin Deepwater Port, 40 nautical miles off the coast of Louisiana, to Hartree for a 20-year period. The SPA is indexed to the Henry Hub benchmark.

“We are excited about partnering with Delfin LNG and to strengthen their progress toward reaching Final Investment Decision and look forward to a successful and collaborative long-term relationship,” said Stephen Hendel, one of Hartree Partners’ Founding Managing Directors. “This deal will also support our wider strategy of delivering low cost, tailor-made and reliable LNG supply chain solutions that meet the specific requirements of our customers.”

The 20-year binding SPA with Hartree serves as an additional milestone for Delfin and builds on the company’s previously announced long-term agreements with strong, strategic counterparties. Delfin has now secured commitments for 3.1 milion tpy of LNG sales which is sufficient to make final investment decision (FID) on the first floating LNG (FLNG) vessel for the Delfin Deepwater Port LNG Export Facility. Delfin expects to make FID in mid-2023.

“The signing of this long-term SPA with Hartree represents another significant milestone for our company and signifies the beginning of a strong, mutually beneficial relationship with a world-class trading company such as Hartree,” added Dudley Poston, CEO of Delfin.

Delfin has appointed Citi as its exclusive financial structuring advisor and is well advanced in securing project level equity and debt for the first FLNG vessel.

“The Delfin project’s ability to make FID one vessel at a time is attracting significant interest from buyers, and Delfin is already in advanced discussions for marketing LNG for its second FLNG vessel,” continued Poston.

Wouter Pastoor, COO of Delfin, concluded: “With strong commercial and financial progress, Delfin is finalising construction contracts for multiple identical liquefier vessels which will offer material cost savings and position us to make FID on our second FLNG vessel by the end of this year.”

Read the article online at: https://www.lngindustry.com/floating-lng/26042023/delfin-signs-lng-spa-with-hartree/

You might also like

 
 

Embed article link: (copy the HTML code below):


 

This article has been tagged under the following:

LNG project news US LNG news