[Context: On May 2, Venture Global LNG announced a 1 million ton per annum (MTPA) 20 year sales and purchase agreement with Galp from its Calcasieu Pass project. Further details and related links are below.]
Portfolio Company: Venture Global LNG
Venture Global LNG enters into LNG Sales and Purchase Agreement with Galp for 1 Million Tonnes Per Year
ARLINGTON, Va., May 2, 2018 /CNW/ — Venture Global Calcasieu Pass, LLC, a subsidiary of Venture Global LNG, Inc., and Galp, a Portuguese-based fully integrated energy player, have entered into a 20-year Sales and Purchase Agreement (SPA) for the supply of one million tonnes per annum (MTPA) from the Venture Global Calcasieu Pass LNG export facility, currently under development in Cameron Parish, Louisiana, USA.
Under this agreement, Galp will purchase LNG on a free on board basis (FOB) for a 20-year term starting from the commercial operation date of the Venture Global Calcasieu Pass LNG export facility, currently expected in 2022 upon Final Investment Decision (FID) and the satisfaction of other customary conditions precedent.
Mike Sabel and Bob Pender, co-CEOs of Venture Global LNG, jointly announced “We are very honored that Galp has signed this binding 20-year SPA with our company. Today’s execution follows the recent announcements of our binding 20-year sales agreements with Shell NA LNG LLC and Edison S.p.A., now totaling 4 MTPA. It is a privilege to become a long-term partner with Galp at this key moment as we finalize our arrangements with additional world-class partners for our Calcasieu Pass project.”
Venture Global LNG is developing both the 10 MTPA Venture Global Calcasieu Pass facility on an approximately 1,000-acre site located at the intersection of the Calcasieu Ship Channel and the Gulf of Mexico and the 20 MTPA Venture Global Plaquemines LNG facility in Plaquemines Parish, Louisiana on an approximately 630-acre site on the Mississippi River, 30 miles south of New Orleans, Louisiana.
Galp is a publicly-held, Portuguese-based integrated energy company, with an international presence. Its activities covers all stages of the energy sector’s value chain, from prospection and extraction of oil and natural gas, through processing, supplying and trading of different energy products, to the development of efficient and environmentally sustainable energy solutions for its customers. Galp employs 6,389 people and currently operates in 11 countries. More can be found at www.galp.com.
About Venture Global LNG
Venture Global LNG will be a long-term, low-cost producer of LNG to be supplied from resource rich North American natural gas basins. Venture Global LNG’s liquefaction process system will employ a highly efficient and reliable suite of products supplied by GE Oil & Gas, LLC, part of Baker Hughes, a GE Company. Venture Global is developing LNG export terminals in Cameron Parish and Plaquemines Parish, Louisiana, totaling 30 MTPA of capacity. More can be found at www.venturegloballng.com.