State Qatari oil giant, China’s Sinopec sign 10-year deal for supply of 2mln tonnes LNG

Doha, Mar 22 (Agency) Qatar’s national oil giant, Qatar Petroleum (QP), on Monday concluded a 10-year sale and purchase agreement (SPA) with China Petroleum & Chemical Corporation (Sinopec) for the supply of 2 million tonnes of liquefied natural gas (LNG) per year, QP said. The agreement was signed at a virtual ceremony by Qatar’s state minister for energy affairs and QP CEO, Saad Sherida Al-Kaabi, and Sinopec Group Chairman Zhang Yuzhuo.

“Under the agreement, LNG deliveries will commence in January 2022, and will be delivered to Sinopec’s LNG terminals in China. This SPA further demonstrates the State of Qatar’s continued commitment to meeting the growing energy demand of its customers globally in the form of reliable long term LNG supplies,” QP said in a statement. Al-Kaabi said, when commenting on the matter, that this agreement is the first long-term deal inked between the two companies, the statement read. “We are proud to team up with Qatar Petroleum, one of the premier suppliers in the industry, to supply cleaner energy to China. We are also excited to begin a new journey of more comprehensive cooperation with Qatar Petroleum in the years to come,” Yuzhuo noted.

Doha has already delivered over 62 million tonnes of LNG to China since the very first supply in September 2009, Qatar’s oil firm stated, noting that Beijing is one of the country’s key and strategic partners in the energy field.