Register for a free trial
Social

Shell signs five-year LNG-supply deal with Qatargas

Mon 19 Jun 2017 by Karen Thomas

Shell signs five-year LNG-supply deal with Qatargas
Qatar will load the cargoes at Ras Laffan for delivery to Dragon LNG or to Gate terminal

Shell and Qatargas have signed a sales and purchase agreement (SPA) in which the Middle East producer will deliver up to 1.1 million tonnes of LNG for five years.

The SPA takes effect in January 2019 and Qatargas will supply the cargoes from the Qatar Petroleum/Shell joint venture Qatargas IV. The cargoes will be delivered either to South Wales’ Dragon LNG terminal or to Gate LNG Terminal in the Netherlands.

Qatargas chairman and Qatar Petroleum president and chief executive Saad Sherida al-Kaabi said: “We are pleased with the conclusion of this agreement, which further strengthens our relationship with Shell, one of the largest energy traders in the world.

“Qatargas continues to win new business in an evolving market and this SPA demonstrates Qatargas’ ability and flexibility to capture new opportunities.”