Cabot Oil & Gas Corporation announced today the execution of a definitive gas sale and purchase agreement (SPA) with Pacific Summit Energy LLC, a wholly owned subsidiary of Sumitomo Corporation. Under the agreement, Cabot will sell 350 000 million Btu/day of natural gas from its Marcellus Shale position for a period of 20 years beginning on the in-service date of the Dominion Cove Point LNG liquefaction project currently scheduled for 2017.
Dan O. Dinges, the company’s chairman, president and CEO expressed excitement at the alliance with Sumitomo. Not only would it supply long-term LNG to the Cove Point LNG facility, it would ultimately benefit the people of Japan, he said. “This long-term firm sales agreement is another milestone for Cabot's marketing efforts and ensures the continuing development of our Marcellus Shale position in Northeast Pennsylvania for years to come.”
Adapted from press release by Ted Monroe
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/19122013/cabot_announces_spa_with_sumitomo_subsidiary_pacific_summit/