Tellurian has finalized a liquefied natural gas (LNG) sales and purchase agreement with Vitol.
The SPA is for three million tonnes per annum (mtpa) on a free on board basis at Driftwood LNG for a ten-year period, indexed to a combination of two indices: the Japan Korea Marker (JKM) and the Dutch Title Transfer Facility (TTF), each netted back for transportation charges.
At today’s prices, the agreement is valued at approximately $12bn in revenue over ten years.
Driftwood LNG is a LNG production and export terminal on the west bank of the Calcasieu River, south of Lake Charles, Louisiana.
President and CEO Octávio Simões said: “Tellurian continues to execute on our plan to market Driftwood LNG volumes on indices that our customers want. Vitol expressed interest in the development of Driftwood early on, and it is fulfilling to finalize this agreement with the world’s
Ben Marshall, CEO of Vitol added: “Vitol’s business continues to grow and evolve in the Americas and around the world. This agreement will make Vitol one of North America’s largest exporters of natural gas, providing our customers with cost effective and cleaner fuel solutions.”
For more information visit: www.driftwoodlng.com