Qatar Petroleum entered a ten-year LNG Sale and Purchase Agreement (SPA) with China Petroleum and Chemical Corporation (Sinopec) for the supply of 2 million tonnes per annum (MTPA) of LNG to the People’s Republic of China.

The SPA was signed by Minister of State for Energy Affairs and Qatar Petroleum President/CEO HE Saad Sherida Al Kaabi and Sinopec Group Chairman Zhang Yuzhuo, during a virtual ceremony attended by senior officials from both sides.

Growing energy demand

Under the agreement, LNG deliveries will commence in January 2022 and will be delivered to Sinopec’s LNG terminals in China. This SPA further demonstrates Qatar’s continued commitment to meeting the growing energy demand of its customers globally in the form of reliable long-term LNG supplies.

HE Minister Al Kaabi said they are delighted to enter into this historic long-term LNG SPA that will further solidify the excellent bilateral relations between China and Qatar.

We are also proud of the fact that this agreement will be Sinopec’s first long term LNG SPA from Qatar, and we are hopeful that it will mark the start of a long and fruitful partnership with Sinopec.

He added that Qatar’s LNG relationship with China dates back to 2009 when they started supplying LNG through a host of deals with a number of valued Chinese partners. This SPA, he said, will further supplement Qatar’s contribution in meeting China’s growing energy needs.

Chairman Yuzhuo, meanwhile, said that the signing of the long-term LNG SPA with Qatar Petroleum is a further step by Sinopec to deliver its commitment to sustainability while meeting the growing needs of the Chinese market.

We believe (that) achieving carbon emission peak and carbon neutrality are responsibilities of the energy industry and call for transformation.

We are proud to team up with Qatar Petroleum, one of the premier suppliers in the industry, to supply cleaner energy to China. We are also excited to begin a new journey of more comprehensive cooperation with Qatar Petroleum in the years to come.

Qatargas CEO Khalid bin Khalifa Al Thani also reaffirmed their commitment to meeting the clean energy needs of customers around the globe who depend on reliable LNG deliveries.

Since its first LNG delivery in September 2009, Qatar has supplied China with over 62 million tonnes of LNG. China is a key and strategic energy partner for Qatar throughout the entire energy value chain. It is also the main driver of growth in the global LNG market as the government adopts increasingly progressive environmental policies.

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