Qatargas and PETRONAS ink new 5 year LNG Sale and Purchase Agreement
Qatargas, the World’s Premier Liquefied Natural Gas Company, today announced the signing of a new five-year liquefied natural gas (LNG) Sale and Purchase Agreement (SPA) with PETRONAS LNG UK Limited (PLUK).
Under the terms of the new SPA, Qatargas will deliver LNG to PLUK until 31 December 2023, an extension of its current contract due to expire on 31 December 2018.
A total of 1.1 million tonnes per annum (MTPA) is secured for a partnership that will now extend to a decade-long supply of LNG to the UK-based entity.
The LNG will be supplied from Qatargas 4 (Train 7), a joint venture between Qatar Petroleum and Shell which started production in January 2011 and will be delivered on board Q-Flex LNG vessels to Dragon LNG terminal at Milford Haven, United Kingdom.
PLUK is the Atlantic basin-focused LNG trading subsidiary of PETRONAS, the national oil and gas company of Malaysia. PLUK is also responsible for securing LNG supplies into Dragon LNG terminal where PETRONAS owns 50% equity and capacity stake.