Get all your news in one place.
100’s of premium titles.
One app.
Start reading
Reuters
Reuters
Business

Papua New Guinea LNG project to supply Sinopec unit

FILE PHOTO: A sign for Santos Ltd, Australia's No. 2 independent gas producer, is displayed on the front of the company's office building in the rural township of Gunnedah, located in north-western New South Wales in Australia, March 9, 2018. REUTERS/David Gray

(Reuters) - The ExxonMobil operated Papua New Guinea LNG project has agreed a deal to supply liquified natural gas (LNG) to a unit of China Petroleum & Chemical Corp, Australia's Santos, a partner in the project, said on Tuesday.

The four-year deal is for the supply of about 0.45 million tonnes of LNG a year to Unipec Singapore, Santos, which holds a 13.5 percent stake in the PNG LNG project, said in a statement.

The deal will take the $19 billion PNG LNG project's total contracted LNG volumes to about 7.9 million tonnes per annum (mtpa), it said.

"The supply and purchase agreement (SPA) with Unipec ... is the final mid-term LNG SPA that the project has been seeking to secure," said Peter Botten, managing director at Oil Search, which has a 29 percent interest in PNG LNG.

The project signed similar LNG supply deals with PetroChina Co Ltd and a unit of British oil giant BP last year.

(Reporting by Nikhil Subba in Bengaluru; editing by Richard Pullin)

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
One subscription that gives you access to news from hundreds of sites
Already a member? Sign in here
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.