Cheniere and PETRONAS Sign 20-Year LNG SPA
Posted on Dec 19, 2018 in Liquefaction, LNG Exports, Markets and Competition | Comments Off on Cheniere and PETRONAS Sign 20-Year LNG SPA
Cheniere Energy Partners, L.P. announced today that its subsidiary Sabine Pass Liquefaction, LLC (“Sabine Pass Liquefaction”) has entered into an LNG sale and purchase agreement (“SPA”) with PETRONAS LNG Ltd. (“PLL”), a subsidiary of the Malaysian state-owned oil and gas company, PETRONAS. According to the press release, PLL has agreed to purchase approximately 1.1 million tonnes of LNG annually from Sabine Pass Liquefaction on a FOB (Free On Board) basis for a term of 20 years following the date of first commercial delivery for the sixth natural gas liquefaction at the Sabine Pass LNG terminal in Cameron Parish, La. The purchase price for LNG is indexed to the monthly Henry Hub price, plus a fee.