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    Qatar inks 15-year LNG deal with China

Summary

Qatari deliveries of LNG under the contract are scheduled to begin in January.

by: Daniel Graeber

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Complimentary, Natural Gas & LNG News, Asia/Oceania, Middle East, Liquefied Natural Gas (LNG), Corporate, Contracts and tenders, News By Country, China, Qatar

Qatar inks 15-year LNG deal with China

Qatar Petroleum announced September 29 that it signed a long-term agreement to deliver LNG to China beginning in January.

Qatar Petroleum signed a sale and purchase agreement with a gas and power subsidiary of China National Offshore Oil Corp (CNOOC). Beginning in January, Qatar Petroleum will deliver 3.5mn metric tons/yr of LNG over a 15-year period.

“We are pleased to further build upon our strong relationship with CNOOC with the signing of this new long-term LNG supply agreement,” Qatar Petroleum CEO and energy minister Sherida al-Kaabi said. “We are especially proud to continue to meet the People’s Republic of China’s growing need for cleaner energy that LNG provides, and are thankful to CNOOC for partnering with us as their trusted LNG supplier.”

Qatar Petroleum delivered its first LNG cargo to CNOOC in September 2009. As of August, the company has delivered more than 715 shipments of LNG to the Chinese economy, with about 40% of those going to CNOOC.

Elsewhere in the region, Qatar Petroleum recently signed a 20-year sales agreement to deliver LNG to Korea’s state-run Korea Gas Corp (Kogas), with first deliveries slated for 2025. South Korea is the world’s third-biggest LNG importer after Japan and China.