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Home Business

Glencore strikes long-term LNG deal with Texas-based Cheniere Energy

by SAT Reporter
October 26, 2021
in Business
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Glencore strikes long-term LNG deal with Texas-based Cheniere Energy
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LONDON, (The Southern African Times) -!Cheniere Energy has agreed to sell about 800 000 metric tons per year of liquefied natural gas to Glencore under a new long-term contract.

The so-called sale and purchase agreement will last 13 years starting in April 2023, and the price of the LNG indexed against the Henry Hub benchmark US natural gas price, Cheniere said on Monday in a statement.

The contract comes ahead of a likely decision by Cheniere next year to proceed with its Stage 3 expansion of its Corpus Christi export plant in Texas. 

LNG is currently trading close to record prices on-the-spot market amid shortages in Asia and Europe that have sent buyers scrambling to secure supplies. Last week, US LNG project developer Venture Global signed two contracts to sell the fuel from a proposed facility in Louisiana to state-owned China Petroleum & Chemical Corp

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