Australia-listed Liquefied Natural Gas Ltd. said on Sept. 16 it signed a deal with a province in Vietnam to supply LNG from its Louisiana-based Magnolia project.
The Vietnam project includes an LNG import terminal, and a 32,000-megawatt combined-cycle power plant in the coastal province of Bac Lieu, where the Houston-based company will supply gas and Vietnam-based Delta Offshore Energy will generate electricity and sell it.
Two million tonnes of LNG per year will be supplied from its Magnolia project, which locks in a buyer for 25% of the supply from the project.
The deal comes at a time when LNG Ltd. has been struggling to lock in sales agreements for its Magnolia project due to the U.S. trade dispute with China, which has been seen as a key potential customer for U.S. LNG projects.
"Our alliance with LNG Limited will allow the Government of Vietnam to have a stronger relationship with the U.S. market," Delta Offshore Energy Managing Director Bobby Quintos said in a joint statement.
Pending government approvals, the project is expected to begin operations in 2023.
Recommended Reading
Industry Consolidation Reshapes List of Top 100 Private Producers in the Lower 48
2024-06-24 - Public-private M&A brings new players to top slots in private operators list.
Devon Energy Expands Williston Footprint With $5B Grayson Mill Deal
2024-07-08 - Oklahoma City-based Devon Energy is growing its Williston Basin footprint with a $5 billion cash-and-stock acquisition from Grayson Mill Energy, an EnCap portfolio company.
ConocoPhillips: Permian Basin a ‘Growth Engine’ for Lower 48
2024-05-15 - ConocoPhillips views the Permian Basin as a “growth engine” within its Lower 48 portfolio, the company’s Midland Basin Vice President Nick McKenna said during Hart Energy’s SUPER DUG event in Fort Worth.
Utica Oil: Encino Energy’s Liquids Wells Top the Charts in Ohio
2024-06-11 - Encino Energy’s first-quarter wells took the top five spots in Ohio as the company’s liquids output accounted for more than half of the state’s 7.23 MMbbl first-quarter total.
Northern Midland: EOG Brings on Dean Oil Well in SE Dawson Stepout
2024-06-18 - EOG Resources has not stated yet that Dawson County is the location of its new “stealth play.” It remained mum in an investment-banking conference this week.