AsiaContracts and Tenders

BP inks long-term US LNG supply deal with South Korea’s Kogas

By LNG Prime Staff
BP inks long-term US LNG supply deal with South Korea's Kogas
Image: Kogas

South Korean LNG importing giant Kogas has signed a deal with BP to buy US LNG for a period of 18 years.

Under the Henry Hub-linked sale and purchase deal, BP Singapore, a unit of BP, would deliver 1.58 million tonnes of LNG per year to Kogas starting in 2025, the latter said in a statement on Friday.

The firm said that the supplies would come from the US, including the Freeport LNG terminal in Texas.

Also, the import volume covers about 3 percent of South Korea’s annual LNG consumption, Kogas said.

According to Kogas, this is the first long-term supply contract between the two firms.

Kogas said this supply deal with “competitive prices” would contribute to easing South Korea’s domestic natural gas prices and diversify supply in times of soaring oil and LNG prices.

In July last year, Kogas also signed a long-term supply deal with LNG giant QatarEnergy. This deal is for 20 years and 2 million tons of LNG per year, also starting in 2025.

The Koran firm currently operates four large-scale LNG terminals, namely Incheon, Pyeongtaek, Tongyeong, and Samcheok, as well as a small-scale regasification terminal at the Aewol port on Jeju island.

Kogas is building a large terminal in Dangjin as well.

Most Popular

Vessels

UKMTO reports LNG carrier incident off Yemen

The United Kingdom Maritime Trade Operations (UKMTO) Center said it received a report of an incident off Yemen involving a liquefied natural gas (LNG) carrier and a small skiff.
Contracts and Tenders

Tecnicas Reunidas scores LNG Canada pipeline gig

Shell-led LNG Canada has awarded a contract to Spanish engineering and construction firm Tecnicas Reunidas to provide EPCM services for the second phase of the Coastal GasLink pipeline in British Columbia, on Canada’s west coast.
LNG as Fuel

CIMC SOE launches Avenir’s LNG bunkering vessel

China’s Nantong CIMC Sinopacific Offshore & Engineering has launched Avenir LNG’s liquefied natural gas bunkering and supply vessel.

More News Like This

LNG Terminals

Kogas reports lower gas sales in September

South Korean LNG importer Kogas said its gas sales decreased by 8 percent in September compared to last year.
Contracts and Tenders

Inpex takes stakes in BP’s Indonesian blocks

Japan's Inpex has acquired 50 percent participating interests each in two of BP's Indonesian offshore blocks where multiple gas and oil fields have been discovered.
LNG Terminals

Shell, partners take FID on LNG Canada Phase 2

UK-based LNG giant Shell and its LNG Canada partners have made a final investment decision on the project's second phase, which will double production capacity at the facility in Kitimat, British Columbia.
Contracts and Tenders

BP to sell Browse LNG stake to Osaka Gas

UK-based energy giant BP has agreed to sell a 5 percent stake in the planned Woodside-led Browse LNG project in Australia, which would deliver natural gas from the Calliance, Torosa, and Brecknock fields to the existing Karratha gas plant, to Japan's Osaka Gas.