JAKARTA (TheInsiderStories) - Indonesian state-owned energy company PT Pertamina has signed long-term liquefied natural gas (LNG) sale and purchase agreements (SPA) with French Total SA with volumes increasing in stages from 0.4 to 1 million tonnes per year over a period of 15 years beginning 2020.
Under the terms of the agreements, Total will purchase 0.4 million tonnes per year of Pertamina’s contracted LNG volumes from Corpus Christi LNG, currently under construction in the United States. In parallel, Total will supply from its global portfolio to Pertamina a volume growing over time from 0.4 to 1 million tonnes per year of LNG.
Laurent Vivier, President Gas at Total, said in a press statement, the agreements will strengthening the company presence in Asia, in particular through innovative relationships with new buyers such as Pertamina.
“These agreements allow the Group to further expand its longstanding cooperation with Pertamina and to enhance both companies’ LNG portfolios,” outlined Laurent Vivier, President Gas at Total.
“Strengthening our presence in Asia, in particular through innovative relationships with new LNG buyers such as Pertamina, is an important part of our strategy,” Laurent Vivier said.
In early July 2014, Pertamina entered into an LNG sale and purchase agreement (SPA) with the subsidiary of Cheniere Energy, Inc. (NYSE MKT: LNG), Corpus Christi Liquefaction, LLC, under which Pertamina agreed to purchase approximately 0.76 million tonnes per annum (mtpa) of LNG upon the commencement of operations of Train 2 of the LNG export facility being developed near Corpus Christi, Texas.
Portion of these LNG which is contracted by Pertamina, will be swapped with Total’s LNG. (*)