France’s Total, Korea Gas sign 20-year US LNG purchase deal

13 September 2012 09:26  [Source: ICIS news]

SINGAPORE (ICIS)--French energy firm Total has signed an agreement with KOGAS for the purchase of 700,000 tonnes/year of liquefied natural gas (LNG) from the Sabine Pass terminal in Louisiana, US, over 20 years, Total said on Thursday.

The commercial agreement between Total gas trading affiliate – Total Gas & Power – and KOGAS stipulates that the LNG will be lifted following the start-up of the Sabine Pass terminal’s liquefaction train 3, which is due for commissioning in 2017.

Financial details of the transaction were not disclosed.

“With this agreement, we are consolidating our leadership in a growing LNG market and taking a position in an LNG export market that is emerging in the US,” said Total Gas & Power president Philippe Sauquet said in the statement.

Previously, Total and KOGAS had signed a sale and purchase agreement for 2m tonnes/year of LNG from Australia.

The Sabine Pass LNG terminal, owned and operated by Houston-based Cheniere Energy, has regasification and send-out capacity of 4.0bn cubic feet (bcf)/day.

By: Pearl Bantillo
+65 6780 4359

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