QatarEnergy entered into a 27-year Sale and Purchase Agreement (SPA) with China Petroleum & Chemical Corporation (Sinopec) for the supply of 4 million tons per annum (MTPA) of LNG (liquid natural gas) to the People’s Republic of China.
Under the terms of the SPA, the contracted LNG volumes will be supplied from QatarEnergy’s North Filed East (NFE) LNG expansion project and will be delivered to Sinopec’s receiving terminals in China.
In his remarks at the signing ceremony, His Excellency Minister Al-Kaabi said: “We are excited about further growing and expanding into the 2050s. This is the first long-term SPA from the NFE project to be announced, and marks the longest gas supply agreement in the history of the LNG industry.”
Dr. MA Yongsheng, the Chairman of Sinopec, said: “Qatar is the world’s largest LNG supplier, and China is the world’s largest LNG importer. Sinopec has been always committed to the development of green and clean energy. Our integrated cooperation with QatarEnergy on the NFE project could not only meet the needs of the Chinese market, but also reflect Sinopec’s commitment to a low-carbon, green, safe, responsible and sustainable development path.”
QatarEnergy has also concluded construction contracts and long-term time charter agreements for 60 LNG carriers as part of its historic LNG shipbuilding program in support of both the NFE and NFS expansion projects, with the number expected to grow to almost 100 in the future.