QatarEnergy in talks with Venture Global to buy LNG in long term supply deal, sources say

SEATTLE (Oil Monster): QatarEnergy is in advanced ​talks with Venture Global for a long-term supply deal to buy ​at least 3 million metric tons of LNG per ⁠year, three people with knowledge of the negotiations told Reuters.

QatarEnergy has ​been buying liquefied natural gas on the spot market from Venture Global ​to supply some of its customers due to the ongoing blockage of the Strait of Hormuz as the US-Israeli war on Iran and Tehran’s strikes this year ​have sharply curtailed shipping.

Reuters could not immediately learn the timeline of ​any agreement between Venture Global and QatarEnergy, or how long a contract could run. ‌Neither ⁠company immediately responded to requests for comment.

Venture Global is the US supplier with the most uncommitted LNG capacity and could become the second largest exporter in the country when it starts producing from its CP2 ​plant currently under ​construction in Louisiana. ⁠An agreement could become the second major long-term deal that QatarEnergy signs with a US exporter this ​year.

On Thursday, Cheniere, the largest US exporter of liquefied ​natural gas, ⁠announced a long-term deal to supply QatarEnergy with 4 million metric tons per annum (mtpa) from 2031 to 2054. Two million metric tons per year ⁠will ​be sourced from Cheniere’s Sabine Pass facility ​in Louisiana, and another 2 mtpa will come from its Corpus Christi terminal in Texas.

Courtesy: www.reuters.com