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PTT revealed the signing of the deal in a statement issued on Thursday.
PTT International Trading (PTTT), a unit of state-owned PTT, signed the FOB LNG sale and purchase agreement with Oman LNG on August 29.
According to PTT, the deal is for a five-year period from 2025 until 2029.
PTT did not provide the quantities.
According to local media reports, PTTT will buy 300,000 tons of LNG per year.
PTT’s unit PTTEP is a shareholder in Oman LNG with a 2 percent stake.
This contract will enhance PTT’s international trade potential, and support the growth of the LNG market and readiness to become an LNG trading hub in the ASEAN region, in line with PTT’s mission to create energy security for the country, it said.
Thailand imports LNG via two import terminals operated by PTT.
These terminals include the first Map Ta Put LNG terminal (LMPT 1) with a capacity of 11.5 mtpa and the second Map Ta Phut LMPT2 LNG terminal, also known as the Nong Fab LNG terminal, with a capacity of 7.5 mtpa.
Before this SPA, Oman LNG signed a term sheet with PTT in January 2023.
Under the deal, Oman LNG said it would deliver 0.8 million metric tonnes per year to PTT for nine years, starting in 2026.
173 LNG cargoes in 2023
Oman LNG delivered 173 cargoes of LNG from its Qalhat complex in 2023, down by three cargoes compared to the year before, while its revenue decreased by 15.5 percent year-on-year to $4.9 billion.
Oman LNG delivered 176 cargoes in 2022, 163 in 2021, 155 in 2020, and 166 in 2019.
According to Oman LNG’s 2023 annual report, out of the 173 LNG cargoes delivered last year 94 percent were contracted cargoes and 6 percent were spot supplies.
Oman produced 11.5 mtpa of LNG, exceeding the enhanced nameplate capacity. This compares to 11.5 mtpa in 2022, 10.6 mtpa in 2021, 10.2 mtpa in 2020, and 10.7 mtpa in 2019.
Oman LNG operates three liquefaction trains at its site in Qalhat near Sur and the trains maintained an “exceptionally high level”, standing at 95 percent, alongside a plant utilization rate of 92 percent last year, Oman LNG previously said.
Oman LNG recently also revealed it plans to to add a new liquefaction train at its three-train Qalhat complex by 2029.
The new train will have a capacity of 3.8 million metric tonnes per year, boosting Oman’s production of LNG to 15.2 mtpa.
Shareholders and supply deals
Last year, Oman LNG signed shareholding deals with international companies, including Shell, TotalEnergies., and PTTEP.
Besides Oman LNG and Qalhat LNG shareholding agreements, Oman LNG, in which the government of Oman holds 51 percent, also signed a gas supply agreement with state-owned Integrated Gas Company (IGC) to extend the gas supplies beyond 2024.
Oman LNG in collaboration with its shareholders, approved the extension of the company’s operations beyond 2024 that linked these key agreements for a period of 10 years from 2025 to 2034 for Oman LNG and 2026 to 2029 for Qalhat LNG.
As a result of these deals, Oman LNG secured sales term commitments up to 10.4 mtpa through the execution of term sheet agreements with several buyers and shareholders, expanding the company’s footprint into new regions across Asian and European markets.
Earlier this year, Oman LNG signed a 10-year SPA with its shareholder TotalEnergies for 0.8 mtpa of LNG from 2025, and a 10-year SPA with Botas for 1 mtpa of LNG.
Oman LNG also signed a 10-year SPA for 1.6 mtpa of LNG with its shareholder Shell and it also signed a 10-year SPA for 0.8 mtpa of LNG with Japan’s Jera,
The LNG producer and German gas importer Securing Energy for Europe (SEFE) also finalized their previously announced LNG deal for 0.4 mtpa of LNG between 2026 and 2029.
