Page 6 - GLNG Week 22 2022
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GLNG ASIA GLNG
South Korean firms line up
LNG supply deals
SUPPLY TWO South Korean companies have signed sale wind project,” stated TotalEnergies’ president
and purchase agreements (SPAs) to buy LNG of gas, renewables and power, Stéphane Michel.
from international sellers. Hanwha’s CEO, Jung In Sub, said it was “sig-
On May 24, France’s TotalEnergies nificant” that his company had secured business
announced that it had agreed to sell 600,000 stability through the long-term supply deal amid
tonnes per year (tpy) to South Korea’s Hanwha a volatile LNG market.
Energy over a 15-year period starting in 2024. A Under the other deal, Cheniere will supply
day later, Cheniere Energy signed an SPA with a LNG to Posco, which is South Korea’s largest
subsidiary of Posco Holdings covering the sup- steelmaker and also owns the country’s first pri-
ply of 400,000 tpy of LNG over a 20-year period vate LNG terminal. This deal supports Cheniere’s
from 2026. planned expansion of its Corpus Christi LNG
The deals were announced as the World Gas terminal in Texas, and is conditional on a final
Conference 2022 took place in Daegu this week. investment decision (FID) being made on that
Under the first of the two deals, LNG will be project. In the announcement, Cheniere’s pres-
sourced from TotalEnergies’ global portfolio and ident and CEO, Jack Fusco, said the FID was
delivered to the Tongyeong regasification termi- anticipated this summer.
nal. This gas will be used to supply Hanwha & The deals follow a number of other SPAs
HDC’s greenfield 1-GW power plant, which is struck between international sellers – often in
currently under construction next to the LNG the US – and Asian buyers in recent months.
terminal. Asian LNG importers will be particularly keen to
“Our company is keen to support the coun- secure long-term supplies given that European
try’s switch away from coal for power generation, companies will also be eyeing new LNG volumes
with both LNG supplies and renewables projects, as they seek to cut their dependence on Russian
such as our significant ‘Bada’ 2-GW offshore gas.
P6 www. NEWSBASE .com Week 22 03•June•2022