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Ev> Blog> Qatar and China sign 27-year LNG supply deal

Qatar and China sign 27-year LNG supply deal

November 26, 2022
QatarEnergy and China Petroleum & Chemical Corporation (Sinopec) have entered into a 27-year sale and purchase agreement (SPA) for the supply of 4 million tons per annum (mtpa) of liquefied natural gas (LNG) to China.

The contracted LNG volumes will be supplied from QatarEnergy’s North Filed East (NFE) LNG expansion project and will be delivered to Sinopec’s receiving terminals in China.

Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of QatarEnergy, said that the agreement will further solidify bilateral relations between Qatar and China highlighting that it is the first long-term SPA from the NFE project to be announced.

He also added that this marks the longest gas supply agreement in the history of the LNG industry.

MA Yongsheng, the Chairman of Sinopec, commented: “The signing of the long-term LNG SPA with QatarEnergy is a milestone and an important part of the integrated cooperation between the two sides on the NFE project.”

The agreement is the second LNG SPA between QatarEnergy and Sinopec, following the 10-year SPA signed in March 2021 for the supply of 2 mtpa to China.

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