Starting in late 2027, TotalEnergies will begin supplying one million metric tons of liquefied natural gas (LNG) per year to South Korea’s KOGAS. This agreement will run for a decade and is the result of an international tender awarded by the Asian company.
This new understanding will bring the total supply volume to 3 million tons per year from 2028 onwards, further consolidating the presence of TotalEnergies’ presence in Asiaa key region for its global LNG portfolio expansion strategy.
LNG supply agreement between the two companies
Some of the gas will come from TotalEnergies TotalEnergies’ operations in the United States, a strategics, a strategic region within its global production and export network.
Patrick Pouyanné, President and CEO of TotalEnergies, noted that the agreement allows them to secure long-term sales outlets in Asia, including to secure long-term sales points in Asia, alignedin line with the sustained growth of its LNG production.
For her part, Yeonhye Choi, CEO of KOGAS, stressed the importance of the contract to diversify sources and maintain a stable flow of energy for Korean industries and households.
Commitment to competitive and sustainable gas
TotalEnergies aims to increase the share of natural gas in its portfolio to 50% by 2030. In line with this commitment, the company is moving towards a low-carbon gas value chain. value chain with low carbon emissions and methane elimination. and methane elimination.
KOGAS, for its part, sees this agreement as a way to strengthen its energy resilience in an increasingly dynamic global context, while promoting sustainability initiatives in its supply chain.
The alliance between the two companies reflects a growing trend towards long-term contracts in the LNG market, at a time when energy security and supply competitiveness are priorities for Asian economies.
Source and photo: TotalEnergies
