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Under the binding deal, Trafigura will purchase 0.5 million tonnes per annum of LNG from Venture Global for five years commencing in 2026, according to a Venture Global statement.
Venture Global said this mid-term agreement offers “greater flexibility to customers in the global LNG market and provides greater diversification for Venture Global’s LNG portfolio.”
Venture Global CEO Mike Sabel said Trafigura is a “global leader in LNG trading, and we are pleased to execute this mid-term LNG supply agreement with them to provide the market with flexible and reliable US LNG.”
“Global energy demand is stronger than ever, and this is an important step in executing our strategy of adding more mid-term agreements, which will diversify the tenor of our LNG portfolio,” he said.
Trafigura’s LNG volumes rose 18.7 percent in the fiscal year ending September 30 compared to the year before.
Total traded LNG volumes increased to 12.7 million tonnes compared to 10.7 million tonnes in the financial year ending September 30, 2024.
On the other hand, this is Venture Global’s second LNG supply deal it announced in a week.
Last week, Venture Global signed a long-term sales and purchase deal with Hanwha Aerospace, a unit of South Korean conglomerate Hanwha.
This is Venture Global’s first long-term LNG supply deal in South Korea.
Under the SPA, Hanwha Aerospace will purchase 1.5 miltpa of LNG from Venture Global for twenty years starting in 2030.
Venture Global said this agreement brings its long-term contracted portfolio to over 46 mtpa.
The company currently exports LNG from its Calcasieu Pass and Plaquemines LNG export terminals.
Venture Global is also building the CP2 LNG facility next to the Calcasieu Pass liquefaction plant in Louisiana.
