Qatargas, Petronas sign five-year LNG deal

DOHA, Qatar -- Qatargas has signed a new five-year liquefied natural gas sale and purchase agreement (SPA) with Petronas LNG UK Limited (PLUK).

Under the terms of the SPA, Qatargas will deliver LNG to PLUK until Dec. 31, 2023. The new agreement marks an extension of the company’s current contract, which is due to expire on Dec. 31, 2018.

Commenting on the deal, Khalid Bin Khalifa Al-Thani, CEO of 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.”

The LNG will be supplied from Qatargas 4 (Train 7), a joint venture between Qatar Petroleum and Shell, and will be delivered on board Q-Flex LNG vessels to the Dragon LNG terminal at Milford Haven, UK. Under the agreement, Qatargas will deliver 1.1 mtpa.