Equinor received its first U.S. cargo from Sabine Pass under agreements with Cheniere that will support its global LNG expansion.
Equinor has begun receiving liquefied natural gas (LNG) from the U.S. Gulf Coast under its long-term contracts with Cheniere. The first cargo was shipped at the Sabine Pass LNG export facility in Louisiana bound for Europe.
The transaction opens up a new source of supply for the Norwegian company’s global LNG portfolio. Equinor plans to use future cargoes to serve customers in both Europe and Asia depending on demand conditions.
Equinor to receive 3.5 million tonnes of LNG per year
Meanwhile, the agreements signed with Cheniere in 2022 and 2023 have a duration of 15 years. When they reach the planned volume, they will allow Equinor to supply around 3.5 million tonnes of LNG per year from Cheniere’s facilities on the US Gulf Coast.
These volumes support the utility’s goal of doubling its global LNG portfolio by 2030. The addition of U.S. supply also expands its access to different markets and provides flexibility to direct cargoes to demand centers.
Thus, U.S. LNG will complement the position that Equinor already holds in the international gas market. The company seeks to combine its existing resources with long-term supply contracts, maritime transportation and marketing capabilities.
Sabine Pass connects US supply to Europe
In addition, the first shipment left Sabine Pass LNG, Cheniere’s export facility located in Louisiana. Its initial destination is Europe, although subsequent deliveries may also be directed to Asian buyers depending on market needs.
The transaction allows Equinor to integrate U.S. LNG into a portfolio capable of serving different regions. This flexibility is especially relevant for a company looking to strengthen its role as an international energy supplier in a market where Europe and Asia compete for available cargoes.
Helle Østergaard Kristiansen, Equinor’s Senior Vice President of Gas and Energy, noted that the United States will have an increasing weight within the company’s global LNG portfolio. According to the executive, these volumes will complement Equinor’s current position in gas and offer greater flexibility to serve European and Asian customers.
The United States gains weight in Equinor’s global LNG strategy
In turn, the contracts with Cheniere are part of a broader strategy to develop a diversified LNG business through stable, long-term supply agreements.
Equinor combines access to gas resources with shipping capability and international marketing and marketing operations. The addition of cargoes from the Gulf Coast expands that structure and strengthens the connection between U.S. supply and international markets.
Chris Golden, Equinor’s head of the U.S. and Senior Vice President of Exploration and Production for the U.S. and Argentina, highlighted the availability of natural gas resources and U.S. infrastructure as central factors for the global LNG market.
In this way, the first cargo from Sabine Pass represents the operational start of contracts that can bring in around 3.5 million tonnes per year. With these deliveries, Equinor is moving towards its goal of doubling its global LNG portfolio by 2030 while increasing its capacity to supply markets in Europe and Asia.
Source and photo: Equinor
