Shell seals LNG supply deal with Morocco

LNG giant Shell has signed a 12-year deal to supply liquefied natural gas to Morocco.

According to a statement by Morocco’s energy transition and sustainable development ministry, Shell International Trading Middle East will supply LNG to Morocco’s electricity and water utility, ONEE, under the deal.

ONEE will buy 0.5 billion cubic meters of LNG from Shell, the statement said.

Mehdi Chennoufi, head of global origination, Shell LNG marketing and trading, and Abderrahim El Hafidi, general director of Morocco’s electricity and water utility, ONEE, signed the deal in Marrakesh on July 14.

During the first years of the contract, Shell will supply LNG through Spanish terminals and ship it to Morocco via the Maghreb-Europe gas pipeline.

After that, the fuel will be delivered via Moroccan LNG terminals.

This deal will help boost Morocco’s energy security, improve competitiveness, and accelerate the implementation of the national decarbonization strategy, the statement said.

ONEE is looking to boost the share of gas in Morocco’s electricity mix and has more than 2 GW of gas-fired power plants under development, the ministry said.

Chennoufi said in the statement that this is ONEE’s first LNG supply deal after the firm completed “several” purchases of spot LNG in 2022.

The ministry did not provide any additional information regarding plans for LNG terminals in Morocco.

Morocco currently has no LNG import terminals but there were plans previously for an FSRU-based import facility.

Most Popular

Technip Energies wins contract for Eni’s Coral Norte FLNG

France-based LNG engineering giant Technip Energies has won a contract for preliminary work on Eni's second FLNG project in Mozambique, Coral Norte (Coral North).

Victrol: LNG London hits bunkering milestone

The Shell-chartered inland bunkering vessel LNG London, owned by a joint venture of Belgium's Victrol and France's Sogestran, has reached a new operational milestone.

Himalaya’s LNG-fueled bulkers earned $34,500 per day in June

LNG-powered bulker owner Himalaya Shipping achieved average time charter equivalent earnings of about $34,500 per day in June.

More News Like This

Victrol: LNG London hits bunkering milestone

The Shell-chartered inland bunkering vessel LNG London, owned by a joint venture of Belgium's Victrol and France's Sogestran, has reached a new operational milestone.

Monadelphous scores new LNG contracts

Australian engineering firm Monadelphous has secured contracts for Shell's Crux natural gas project offshore Western Australia and the Australia Pacific LNG project in Queensland.

European network of LNG stations reaches new milestone

Europe's network of liquefied natural gas (LNG) fueling stations for vehicles has surpassed 800 stations, according to Eurogas.

Former Shell CFO joins BP’s board

UK-based energy giant BP has appointed Simon Henry, Shell's former finance chief, to its board as a non-executive director.