Cheniere Inks 15-Year LNG Supply Deal with Equinor
Cheniere Energy Inc. has agreed to sell liquefied natural gas (LNG) to Equinor as the Norwegian energy company plans to boost its LNG volumes for Europe amid a tight commodity market and surging demand for the super-cooled fuel.
"LNG will play a crucial role in energy security. By increasing our position in this segment, we will be even better positioned as a long-term, reliable supplier of energy," said Helge Haugane, Equinor's head of gas and power trading.
Under the deal, Cheniere will deliver 1.75 million tonnes of LNG per year for 15 years starting from the second half of 2026, it said in a statement on Thursday.
Half of the annual volume that Cheniere plans to deliver, approximately 0.9 MTPA, depends on the Texas-based company making a positive final investment decision to expand liquefaction capacity at the Corpus Christi LNG Terminal.
“The SPA reflects the urgency in demand for investment in additional LNG capacity, not only for the Corpus Christi Stage III Project, which is nearing FID, but also for capacity beyond the project’s initial seven trains,” Jack Fusco, Cheniere’s president and CEO, said.
U.S. LNG companies have been exporting record volumes to the European Union following sanctions on Russia over Moscow's invasion of Ukraine that reduced supplies in an already tight market.
The United States is on track to become the world's largest LNG exporter this year, surpassing Australia and Qatar, as producers aim to boost liquefaction capacity.
Related News
Related News
- Phillips 66 to Shut LA Oil Refinery, Ending Major Gasoline Output Amid Supply Concerns
- FERC Sides with Williams in Texas-Louisiana Pipeline Dispute with Energy Transfer
- U.S. Appeals Court Blocks Kinder Morgan’s Tennessee Pipeline Permits
- ConocoPhillips Eyes Sale of $1 Billion Permian Assets Amid Marathon Acquisition
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
- U.S. Appeals Court Blocks Kinder Morgan’s Tennessee Pipeline Permits
- Malaysia’s Oil Exports to China Surge Amid Broader Import Decline
- U.S. LNG Export Growth Faces Uncertainty as Trump’s Tariff Proposal Looms, Analysts Say
- Marathon Oil to Lay Off Over 500 Texas Workers Ahead of ConocoPhillips Merger
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
Comments