SK Gas inks US LNG deal with Energy Transfer

South Korea’s SK Gas Trading will purchase 0.4 million tonnes per annum (mtpa) of LNG from Energy Transfer’s Lake Charles LNG export facility in the US under a newly inked agreement.

Unveiling details of the agreement on the duo said the deal has been agreed for a term of 18 years, with the first deliveries expected to commence as early as 2026.

The deal marks Energy Transfer’s fourth sales and purchasing agreement in the last four weeks and comes at a time when companies from across the globe are trying to cut reliance on Russian fuel.

As well as its fourth agreement in four weeks, the deal also marks Energy Transfer’s first Korean offtake customer.

Energy Transfer’s Lake Charles LNG export facility will be constructed on the existing brownfield regasification facility and will capitalise on four existing LNG storage tanks, two deep water berths and other LNG infrastructure.

The sales and purchasing agreement will become fully effective upon the satisfaction of the conditions precedent, including Energy Transfer LNG taking final investment decision (FID).

Source: https://www.gasworld.com/