QP signs SPA to supply China with 1MTPA of LNG for 10 years

Doha: Qatar Petroleum yesterday entered into a long-term Sale and Purchase Agreement (SPA) with Shell for the supply of one million tonnes per annum (MTPA) of LNG to the People’s Republic of China for 10 years. LNG deliveries will commence in January 2022 to various LNG terminals in China.

Commenting on this occasion, Minister of State for Energy Affairs, the President and CEO of Qatar Petroleum, H E Saad Sherida Al Kaabi, said: “We are pleased to enter into this new LNG SPA with our trusted partner, Shell. I am especially delighted that this agreement will meet part of the demand of Shell’s end customers in China, thereby further supplementing Qatar’s contribution to meeting China’s growing energy needs.” Minister Al Kaabi concluded his remarks by saying, “This SPA further highlights our ability to meet the requirements of our customers and partners across the world. I would like to take this opportunity to thank the management and staff of Shell for the successful conclusion of this SPA, which is another testament to our long and fruitful partnership. I would also like to thank Sheikh Khalid Khalifa Al Thani, the CEO of Qatargas, and his team for their valuable contributions to reinforce Qatar’s position in the LNG market, and meet the needs of our customers.” Qatar Petroleum plans to supply the LNG volumes contracted under this agreement from its Qatargas 1 venture, which will become 100 percent owned by Qatar Petroleum as of January 1, 2022.