Cheniere Energy, a producer and exporter of liquefied natural gas in the United States, listed on the New York stock exchange, announced today that its wholly-owned subsidiary, Cheniere Marketing, LLC has entered into a long-term liquefied natural gas sale and purchase agreement with a subsidiary of PetroChina. PetroChina is an oil and gas producer and distributor in China, as well as a significant player in the global oil and gas industry.
Under the deal, PetroChina’s subsidiary PetroChina International Company Limited has agreed to purchase up to approximately 1.8 million tonnes per annum of LNG from Cheniere Marketing on a free-on-board basis. Deliveries will start in 2026, reach the full 1.8 mtpa in 2028, and continue through 2050. As Cheniere said, the purchase price for LNG is indexed to the Henry Hub price, plus a fixed liquefaction fee. Half of the total volume, or approximately 0.9 mtpa, is subject to Cheniere making a positive final investment decision to construct additional liquefaction capacity at the Corpus Christi LNG Terminal beyond the seven-train Corpus Christi Stage 3 Project.
As the CEO and President of Cheniere Jack Fusco says, this deal increases Cheniere’s long-term sales to PetroChina to approximately 3 mtpa.
Source: Cheniere Energy, Inc.