Excelerate LNG agreement

New-York listed and US based LNG specialist Excelerate Energy and Qatari-based QatarEnergy signed a 15-year liquefied natural gas (LNG) sales and purchase agreement (SPA).

Excelerate Energy has agreed under the SPA deal to purchase up to 1.0 million tonnes per annum (MTPA) of LNG from QatarEnergy on a delivered ex-ship basis in Bangladesh, for a 15-year period, with the deliveries beginning as from January 2026.

Excelerate Energy will purchase 0.85 MTPA of LNG in 2026 and 2027 and 1.0 MTPA from 2028 to 2040 from QatarEnergy.

Steven Kobos, president and chief executive of Excelerate Energy, said that “This inaugural long term supply agreement with the world’s largest LNG supplier marks a new milestone in our collaboration with QatarEnergy.

“Qatar delivers approximately 10 percent of its current annual LNG production through Excelerate FSRUs and we are pleased to unlock further new demand in the markets where we operate.

“This agreement highlights our ability to secure critical and affordable LNG volumes for our customers with increasing natural gas demand, while driving stable, long-term economic uplift on our existing infrastructure,” he added.

Saad Sherida Al-Kaabi, the minister of State for energy affairs, the president and chief executive of QatarEnergy, pointed out: “We are pleased to sign this agreement with Excelerate for the supply of up to one million tons per annum of LNG to Bangladesh.

“This new agreement will further strengthen our relationship with Excelerate while also supporting the energy requirements of the People’s Republic of Bangladesh and its stride towards greater economic development.”

On November 8, 2023 the Shipping Telegraph reported that Excelerate Energy had signed a long-term LNG sales deal with the Bangladesh Oil, Gas & Mineral Corporation (Petrobangla).

The above purchase of LNG from QatarEnergy is made for covering the sale of the same quantity of LNG by Excelerate Energi to Petrobangla via Excelerate’s two FSRUs in Bangladesh.