Author: Franyi Sarmiento, Inspenet, December 2, 2021.
Sinopec Corp, the Chinese state oil company, signed a contract to purchase 4 million tons of liquefied natural gas (LNG) annually for the next two decades with the US company Venture Global LNG, which will supply from its plant in Plaquemines, Louisiana. .
According to a statement from Venture Global, this is the largest long-term LNG contract signed between Chinese and US companies. “This sale agreement is historic, it will also strengthen bilateral trade and economic cooperation between the US and China, representing tens of billions of dollars in trade over the course of the contract,” said Mike Sabel, CEO of Venture Global LNG, in a video.
The LNG agreement reflects the agreement of both companies to help the global energy transition. Ma Yongsheng, Chairman of Sinopec, pointed out that Sinopec has always insisted on carrying out a green, safe, responsible and low-carbon development strategy.
Sinopec expects natural gas prices in China to rise by at least 20% compared to the previous year, while energy companies estimate a 10% increase in gas demand for this winter.
However, the company did not specify the value of the contract or when the supply of LNG will begin. Analysts expect production to start at the Plaquemines plant by 2024.
Source: worldenergytrade.com
Photo: Devon Chandler on Pixabay
Video 1 Sinopec : https://www.youtube.com/watch?v=AvPiQVtFroA
Video 2 Sinopec: https://www.youtube.com/watch?v=AFgqKF0AWKE
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