The deal is the first direct LNG contract from a U.S. LNG producer for PTT Global, subsidiary of PTT Public charged with pursuing oversea investment opportunities in LNG value chain, according to Cheniere Energy President and CEO Jack Fusco. Pictured, logo of PTT Public Co. Ltd. (Source: Hi-Point / Shutterstock.com)
Cheniere Energy Inc. signed its second long-term LNG sales and purchase agreement in the past week on July 26, this time with Thailand’s largest state-owned company PTT Public Co. Ltd.
“This is the first direct LNG contract from a U.S. LNG producer for PTT Global,” Cheniere President and CEO Jack Fusco said July 26 in a press statement.
Houston-based Cheniere Energy entered the long-term LNG sales and purchase agreement with PTT Global LNG Co. Ltd., a subsidiary of PTT Public, for 1 million tonnes per annum (mtpa) of supply starting in 2026 and spanning 20 years. The deal follows a similar one recently signed with PetroChina Co. and allows Cheniere to provide critical gas supply to clients in Asia seeking to secure LNG amid rising demand for the energy source as global economies shift from oil and coal to cleaner energy alternatives.
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Per its agreement with PTT, Cheniere affiliate Corpus Christi Liquefaction LLC will supply PTT Global with LNG through a combination of free-on-board (FOB) and delivered ex-ship (DES) deliveries, Cheniere said.
The LNG purchase price is indexed to the Henry Hub price, plus a fixed liquefaction fee. The customized delivery options allow Cheniere to tailor its offerings to the specific needs of LNG clients worldwide.
In his statement, Fusco described PTT as an “energy leader in a key, fast-growing Southeast Asian market.”
PTT developed, owns and operates Thailand’s first LNG import terminal. Established in 2017, its affiliate, PTT Global, pursues oversea investment opportunities in LNG value chain from LNG liquefaction plant to receiving terminal as well as LNG procurement and marketing.
“We actively engage in the LNG business and target to be a global LNG player by managing an LNG portfolio of 9 mtpa by 2030,” PTT’s President and CEO Auttapol Rerkpiboon said in the statement. “By the end of this year, PTT’s LNG receiving terminals will be able to accommodate regasification capacity up to 19 million tons per year with our new terminal.”
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