GDF SUEZ lines up Taiwan for US Cameron LNG exports

28 March 2014 15:58 Source:ICIS
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European energy giant GDF SUEZ has signed a heads of agreement (HoA) with Taiwan’s state-owned natural gas importer CPC for the sale of 800,000 tonnes/year of LNG from the Cameron facility proposed for the US Gulf Coast.

The supply agreement will cover a 20-year term beginning in 2018 and represents GDF SUEZ’ first long-term supply agreement with an Asian customer, the Paris-based company said on Friday.

GDF SUEZ currently has a short-term supply deal in place with China’s CNOOC for the supply of 2.6mtpa to the Tianjin terminal as well as similar agreements with South Korea’s KOGAS and Malaysia’s PETRONAS.

No firm time frame has been set for the signature of a final sales agreement between the parties, a GDF SUEZ spokesperson told ICIS, and it will be conditional on a final investment decision being taken on the Cameron LNG project.

GDF SUEZ has secured 4mtpa in offtake from the 12mtpa Cameron LNG project proposed for Hackberry, Louisiana. Japanese trading companies Mitsubishi and Mitsui are the terminal’s other offtakers with 4mtpa each.

Cameron LNG became the fifth US project to receive a license to export LNG to non-free trade agreement countries from the US Department of Energy in February this year.

The project also received a draft environmental impact statement from the Federal Energy Regulatory Commission (FERC) in January, and is expected to be only the second US export project behind Cheniere Energy’s Sabine Pass facility to receive full FERC approval at some point in the second quarter of 2014.

A final investment decision on the Cameron project is expected later this year, GDF SUEZ said. James Fowler

By James Fowler