Cheniere Energy said on Thursday it has signed long-term agreements to supply QatarEnergy with 4 million metric tons of liquefied natural gas (LNG) annually from the early 2030s through 2054, as it plans to expand production capacity.
Here are more details:
* Agreements cover 2 million metric tons per year each from Cheniere’s Sabine Pass terminal in Louisiana and Corpus Christi terminal in Texas
* LNG prices are indexed to Henry Hub natural gas prices plus a fixed fee
* 1 million tonnes per annum (MTPA) under the Sabine Pass agreement is contingent on a positive final investment decision on the first phase of the terminal’s expansion.
* Sabine Pass’s expansion could add peak production capacity of up to about 20 million metric tons per year, including estimated gains from debottlenecking
* Expansion could increase Sabine Pass’ total production capacity to more than 50 million metric tons per year
(Reporting by Arunima Kumar in Bengaluru; Editing by Tasim Zahid)