QatarEnergy signs long-term LNG deal with Sinopec
By Keefe Borden22 November 2022
QatarEnergy has signed a 27-year contract with China’s Sinopec to ship 4 million tonnes per year (mtpa) of LNG to China. Additional details of the agreement were not made public.
In addition, both companies will work on Qatar’s North Field Development Project, Sinopec announced. China and Qatar have enjoyed friendly and close ties while building synergies in the energy sector, said Sinopec Chairman Ma Yongsheng.
“The signing of this agreement aligns with Sinopec’s adherence to green, low-carbon, safe, and sustainable development,” Ma said. “The LNG supply will help meet the demand for natural gas in the Chinese market, but also further optimize China’s energy mix while enhancing the security, stability, and reliability of energy supply.”
“We are delighted to have reached this agreement, which will further strengthen the excellent bilateral relationship between China and Qatar,” said Qatari Minister of State for Energy Affairs H.E. Saad Sherida Al-Kaabi. “The agreement will help to meet China’s growing demand for clean energy. This cooperation, which spans different fields and will last for 27 years, marks an extraordinary and exciting new chapter of cooperation between the two sides.
Commissioning of the Northern Gas Field Expansion Project is slated for 2026. This agreement is the second long-term LNG purchase and sale agreement signed between Sinopec and QatarEnergy, and the first long-term LNG purchase and sale agreement for the Project.