Iberdrola Signs Agreement to Purchase LNG from Cheniere’s Corpus Christi LNG Terminal at Henry Hub-Linked Prices
Posted on May 30, 2014 in LNG Exports, Markets and Competition | Comments Off on Iberdrola Signs Agreement to Purchase LNG from Cheniere’s Corpus Christi LNG Terminal at Henry Hub-Linked Prices
Cheniere Energy subsidiary Corpus Christi Liquefaction, LLC (CCL) and Iberdrola, S.A. (Iberdrola) have entered into an agreement for Iberdrola to purchase 0.4 million tonnes per annum (mtpa) of LNG over 20 years from Train 1 of CCL’s proposed LNG export terminal near Corpus Christi, Texas. The purchase volume will increase to 0.8 mtpa of LNG upon the commencement of operations of Train 2, which is expected in 2019. According to the press release, Iberdrola will purchase the LNG on a free on board (FOB) basis at a price indexed to the monthly Henry Hub price plus a fixed component.