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UPDATE 1-China Gas Holdings signs two 20-year LNG supply deals with Venture Global

Kitco Media
By Reuters
Published:
Updated:
Reuters
(Updates with details, background) SINGAPORE, Feb 24 (Reuters) - Chinese gas distributor China Gas Holdings said on Friday it agreed to two 20-year liquefied natural gas (LNG) supply contracts with U.S. exporter Venture Global. China Gas Holdings, via its wholly-owned subsidiary China Gas Hongda Energy Trading Co, will buy a total of two million tonnes per year of LNG from Venture Global under the two contracts, the company said in a statement. The contracts will begin from 2027, a company executive told Reuters. The LNG supply would come from Venture Global's two LNG projects in Louisiana, Plaquemines LNG and the CP2 LNG. The projects would each supply one million tonnes of LNG per annum to China Gas, according to the statement from China Gas.


China Gas Holdings had last June signed a deal with U.S. firm Energy Transfer to receive 0.7 million tonnes of LNG a year on a free-on-board basis for 25 years. The first deliveries are expected to start in 2026.


In 2021, Venture Global also inked several large deals with firms in China, who ranked as the world's top LNG importer that year. It signed a 20-year deal with state oil giant Sinopec for 4 million tonnes of LNG per year, and agreed to provide 3.8 million tonnes of supplies per year to Unipec, a subsidiary of Sinopec.


Venture Global also signed a 20-year deal to sell 2 million tonnes of LNG per year to a unit of China National Offshore Oil Corp (CNOOC). (Reporting by Emily Chow and Chen Aizhu; Editing by Jacqueline Wong)

emily.chow.thomsonreuters.com@reuters.net))
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