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Cheniere strikes LNG supply deal with Norway's Equinor

reuters.com · 06/09/2022 08:50
Cheniere strikes LNG supply deal with Norway's Equinor

- Cheniere Energy Inc LNG will sell liquefied natural gas (LNG) to Equinor ASA EQNR under a deal that would help the Norwegian energy company reduce its reliance on Russian supplies and more polluting fuel.

Cheniere has agreed to deliver 1.75 million tonnes of LNG per year for 15 years starting from the second half of 2026, it said in a statement on Thursday.

U.S. LNG companies have been exporting record volumes to the European Union following sanctions on Russia over Moscow's invasion of Ukraine that reduced supplies in an already tight market.

The United States is on track to become the world's largest LNG exporter this year, surpassing Australia and Qatar, as producers aim to boost liquefaction capacity. nL1N2XO1EQ

Half of the annual volume that Cheniere plans to deliver depends on the Texas-based company making a positive final investment decision to expand liquefaction capacity at the Corpus Christi LNG Terminal.

(Reporting by Arunima Kumar in Bengaluru; Editing by Devika Syamnath)

((Arunima.Kumar@thomsonreuters.com; Twitter: https://twitter.com/Aru_Kumar94 ;))