QatarEnergy concludes 15-year LNG supply deal with Bangladesh
QatarEnergy concludes 15-year LNG supply deal with Bangladesh - Offshore Energy
QatarEnergy concludes 15-year LNG supply deal with Bangladesh
QatarEnergy’s LNG trading arm, QatarEnergy Trading, has inked a long-term LNG sale and purchase agreement (SPA) with Bangladesh Oil, Gas and Mineral Corporation (Petrobangla).
The 15-year agreement will see QatarEnergy supply about 1.8 million tons per annum (mtpa) of LNG to Bangladesh, starting in 2026.
Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of QatarEnergy, pointed out that the company is the largest LNG supplier to Bangladesh and Petrobangla by a large margin, delivering more than 3.5 (mtpa) from Qatar to Bangladesh.
“These supply arrangements reinforce our unwavering dedication to safeguarding the energy security of valued customers like Bangladesh and delivering the reliable energy they require for socio-economic development and prosperity”, Al-Kaabi said.
Qatar’s state-owned oil and gas company has set its sights on becoming the largest liquefied natural gas (LNG) traders in the world within five to ten years and is progressing with the development of its LNG projects.
In line with this, it recently awarded the engineering, procurement and construction (EPC) contract for the North Field South (NFS) project to a joint venture of Technip Energies and Consolidated Contractors Company (CCC).
Related Knowledge Center: Liquefied natural gas
Driven by plentiful natural gas produced from shale plays, the United States began exporting liquefied natural gas in 2016 when the Sabine Pass terminal in Louisiana opened and shipped its first cargo. Since then, additional capacity, or trains, have been added to Sabine Pass, and terminals have become operational in Cameron Parish, La.; Hackberry, La.; Cove Point, Md.; and Corpus Christi, Texas. The Energy Information Administration projects that U.S. LNG export capacity will reach 8.9 billion cubic feet per day (Bcf/d) by the end of 2019, making it the third largest in the world, behind Australia and Qatar. The tariff war with China has the potential to impact some final investment decisions for additional terminals in the coming months.