QatarEnergy announced a 27-year natural gas supply deal with China on Monday, calling it the “longest” ever seen as it strengthened ties with Asia at a time when Europe is scrambling for alternative sources.
The state energy company will supply four million metric tonnes of liquefied natural gas annually from its new North Field East project to China Petroleum and Chemical Corporation (Sinopec), it said.
The deal “marks the longest gas supply agreement in the history of the LNG industry,” said Saad Sherida Al-Kaabi, Qatar’s energy minister, and QatarEnergy’s chief executive.
Sinopec chairman Ma Yongsheng, who took part in a virtual signing ceremony from Beijing, said it was a “milestone” accord as “Qatar is the world’s largest LNG supplier and China is the world’s largest LNG importer”.
He told the ceremony that he had “formally” requested in October last year a share of Qatar’s North Field South project. Total Energies of France, Shell of Britain and US giant ConocoPhillips will share the 25 per cent foreign stake in the field.
“Thank you for taking it into serious consideration,” Ma told Kaabi at the ceremony, adding that Sinopec wanted to explore other potential deals with QatarEnergy.
