Doha: Qatar Petroleum (QP) has booked 7.2 million tonnes per annum of LNG receiving and storage capacity for 25 years in Europe’s largest LNG import terminal. QP’s subsidiary and the UK’s National Grid Grain LNG entered into a long-term agreement yesterday for LNG storage and regasification capacity.
The 25-year agreement will enable the Qatar Petroleum affiliate to utilise the Isle of Grain LNG receiving terminal in Kent from mid-2025, by subscribing to the equivalent of up to 7.2 million tonnes per annum of the terminal’s future throughput capacity. The agreement is a significant milestone for the future of Europe’s largest LNG import terminal.
The agreement was signed by Minister of State for Energy Affairs, the President and CEO of Qatar Petroleum, H E Saad Sherida Al Kaabi, and Jon Butterworth, the Managing Director of National Grid Ventures, during a virtual ceremony held yesterday.
“By entering into this agreement, we are reaffirming our commitment to the UK’s gas market. We believe this agreement will facilitate a greater role for LNG as a reliable, economic, and environmentally friendly source of energy in the UK.”
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Al Kaabi also highlighted the strong cooperation between Qatar and the UK in the field of energy. “Our agreement with Grain LNG will strengthen our position in support of advancing greater access to secure, flexible, and reliable gas supplies for all customers in the UK. I would like to commend National Grid for a very transparent and successful Open Season process, and look forward to further cooperation to strengthen our relationship”, H E added.
Earlier, in February this year, QP and the French LNG terminal operator Elengy, a subsidiary of ENGIE Group, had entered into a long-term agreement for LNG receiving, storage and regasification services at the Montoir-de-Bretagne LNG Terminal in France.
Under the agreement, Qatar Terminal Limited (QTL) - a subsidiary of Qatar Petroleum - will subscribe to the equivalent of almost 3 million tons per annum of the terminal’s throughput capacity for a term up to 2035.
SOURCE: THEPENINSULAQATAR