Cheniere pens Corpus Christi deal with ARC Resources

US LNG exporter Cheniere has signed a deal with a unit of Canada’s ARC Resources under which the latter will supply natural gas to the Corpus Christi expansion project in Texas.

ARC Resources U.S. has agreed to sell 140,000 MMBtu per day of natural gas to Corpus Christi Stage III, according to a Cheniere statement on Wednesday.

Also, the integrated production marketing gas supply agreement is for 15 years and would start with commercial operations of Train 7 of the Corpus Christi expansion project, Cheniere said.

Cheniere said it would market the LNG supplies associated with this deal, or approximately 0.85 million tonnes per annum.

In addition, Cheniere will pay ARC U.S. an LNG-linked price for its gas, based on the Platts Japan Korea Marker (JKM), after deductions for fixed LNG shipping costs and a fixed liquefaction fee.

The deal remains subject to Cheniere making a positive final investment decision to construct the Corpus Christi Stage III project.

The Corpus Christi liquefaction plant now consists of three operational trains with each having a capacity of about 5 mtpa.

Under the expansion, Cheniere plans to add up to seven midscale trains, each with an expected liquefaction capacity of about 1.49 mtpa, with a total production capacity of more than 10 mtpa.

Cheniere’s CEO Jack Fusco welcomed this agreement with one of Canada’s largest natural gas producers, enabling Canadian natural gas to reach international markets.

“This IPM agreement with ARC U.S. is expected to provide additional support to the Corpus Christi Stage III project, which we expect to reach FID this summer,” he said.

Most Popular

Shell’s LNG Canada achieves first LNG

LNG giant Shell has started production at the first liquefaction train at its LNG Canada export terminal in Kitimat, an LNG Canada spokesperson told LNG Prime on Sunday.

Atlantic LNG shipping rates jump to $49,750 per day

Atlantic spot LNG shipping rates rose to $49,750 per day this week, while European prices also jumped compared to the previous week.

India’s May LNG imports drop

India's liquefied natural gas (LNG) imports dropped by 15.3 percent year-on-year in May, preliminary data from the oil ministry’s Petroleum Planning and Analysis Cell shows.

More News Like This

Japan’s Jera seals US LNG supply deals

Japan's power firm and LNG trader Jera has signed 20-year agreements to buy up to 5.5 million tonnes per year of LNG from the United States. The deals include an SPA with Commonwealth LNG and the previously announced SPA with NextDecade, as well as heads of agreements with Sempra Infrastructure and Cheniere.

Cheniere aims to start construction on Sabine Pass LNG expansion in late 2026

US LNG exporting giant Cheniere aims to start construction on the proposed expansion project at its Sabine Pass LNG export facility in Louisiana in late 2026.

Cheniere’s Corpus Christi expansion project almost 84 percent complete

The Stage 3 expansion project at Cheniere’s Corpus Christi LNG export plant in Texas is almost 84 percent complete.

Port of Corpus Christi completes ship channel expansion

The US Port of Corpus Christi in Texas has completed the $625 million ship channel improvement project.