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QatarEnergy signs 15-year LNG supply deal with Excelerate Energy
Middle East News
2024-01-29 | 06:46
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QatarEnergy signs 15-year LNG supply deal with Excelerate Energy
QatarEnergy and US-based Excelerate Energy signed on Monday a 15-year agreement to supply 1 million metric tons per year (mtpa) of liquefied natural gas (LNG) to be delivered to Bangladesh for 15 years from January 2026.
The deal is the latest in a series state-owned QatarEnergy has with European and Asian partners tied to its massive North Field expansion project, which is expected to lift Qatar's LNG production to 126 mtpa by 2027 from 77 mtpa now.
Qatar, among the world's top LNG exporters, is already the largest supplier of LNG to Bangladesh.
It views natural gas as a transition fuel needed far into the future.
"This new agreement will further strengthen our relationship with Excelerate while also supporting the energy requirements of the People's Republic of Bangladesh and its stride towards greater economic development," QatarEnergy Chief Executive Saad al-Kaabi said in the statement.
Al-Kaabi told Reuters last month that QatarEnergy expected to agree on long-term LNG supply deals in Asia and Europe, with several imminent.
Excelerate will buy 850,000 mtpa of LNG in 2026 and 2027, then one mtpa from 2028 to 2040, QatarEnergy said. It will be shipped to floating storage and regasification units in Bangladesh.
Daniel Bustos, Excelerate Energy's executive vice president and chief commercial officer, said in September the company was in advanced talks to supply long-term LNG to Bangladesh.
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