QatarEnergy and China strike LNG deal
Published by Theodore Reed-Martin,
Editorial Assistant
LNG Industry,
QatarEnergy has signed definitive agreements with China National Petroleum Corporation (CNPC), covering the long-term supply of LNG to China and a partnership in the North Field East LNG expansion project (NFE).
The two parties signed an LNG sales and purchase agreement (SPA) for the delivery of 4 mtpy of LNG from the NFE project to CNPC’s receiving terminals in China over a span of 27 years, marking the industry’s longest-term SPA commitment.
Pursuant to this agreement, QatarEnergy will transfer to CNPC a 5% interest in the equivalent of one NFE train with a capacity of 8 million tpy. This transfer will see CNPC become a partner in the NFE project and will not affect the participating interests of any of the other shareholders in the project.
The agreements were signed by Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of QatarEnergy, and M Dai Houliang, the Chairman of CNPC, during a special ceremony held at QatarEnergy’s headquarters and attended by senior executives from both companies.
“We are pleased to embark on this partnership with CNPC and to build on the excellent relations between the People’s Republic of China and the state of Qatar. These agreements demonstrate our unwavering commitment to our customers and partners and to our shared ambition for a sustainable future facilitated by a cleaner, and more eco-friendly energy source that would catalyse substantial socio-economic development,” said Saad Sherida Al-Kaabi, Minister of State for Energy Affairs and CEO of QatarEnergy.
“This is another milestone in forming a strategic synergy between China’s 'Belt and Road' Initiative and Qatar’s National Vision 2030. It lays a solid foundation for the energy cooperation between the two sides in the next three decades. From this brand-new starting point, CNPC will continue to actively discuss with QatarEnergy all-round cooperation across the hydrocarbon industry chain and other areas like green and low carbon energies, so as to build a stable, long-term, and multi-dimensional strategic partnership,” commented Dai Houliang, the Chairman of CNPC.
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/21062023/qatarenergy-and-china-strike-lng-deal/
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