Saad Sherida Al-Kaabi
DOHA: Qatargas, the World’s Premier liquefied natural gas company, yesterday announced the signing of a new five-year 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 December 31 2023, an extension of its current contract due to expire on December 31 2018.
Saad Sherida Al-Kaabi (pictured) , Chairman of Qatargas Board of Directors, said: “I am delighted to announce that by this agreement, Qatargas has extended its strong relationship with Petronas for many years into the future. This extension will enhance Qatar’s leading position in the LNG market, and will further reinforce Qatargas’ commitment to meeting the needs of its customers of this clean energy source.” Al Kaabi added:“Most importantly, this agreement is a testament to our proven ability to safely and reliably deliver LNG to customers not only in the United Kingdom but all over the world.” Commenting on the new deal, Khalid bin Khalifa Al-Thani, Chief Executive Officer, Qatargas, said: “Qatargas continues to win new business, and I am very pleased to extend our relationship with Petronas. At Qatargas, we are focused on building strong, long-term relationships with our customers, and reinforcing our reputation for being the most reliable and flexible supplier of LNG in the marketplace.”
Ahmad Adly Alias, Petronas Vice- President of LNG Marketing and Trading, said that the extension of the agreement proves the value of a long-term LNG business relationship for both Petronas and Qatargas:“As a buyer and seller of LNG, Petronas looks forward to enhancing a mutually-beneficial partnership with Qatargas for value added opportunities amidst the current business environment.”
A total of 1.1 million tonnes per annum (MTPA) is secured for a partnership that will now extend to a decade-longsupply 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 percent equity and capacity stake.
Qatargas, Qatar’s pioneer in the LNG industry is the largest producer of LNG in the world with an annual production capacity of 42 million tonnes per annum (MTPA) from its world-class facilities in Ras Laffan Industrial City.
Since the first production in 1996, Qatargas has successfully delivered cargos to 28 countries and is committed to meeting the world’s demand for safe, reliable and clean energy.
