Cheniere Energy inks production marketing deal with Canadian Natural Resources
Cheniere Energy's subsidiary, Cheniere Marketing, has entered into a long-term integrated production marketing (IPM) agreement with Canadian Natural Resources.
The deal, which is expected to start in 2030, involves the sale of 140 billion metric British thermal units per day of natural gas by a subsidiary of Canadian Natural Resources over a 15-year period.
Under the terms of the agreement, the liquefied natural gas (LNG) associated with this gas supply, approximately 850,000 tonnes per annum (tpa), will be marketed by Cheniere Marketing.
The pricing for the natural gas will be linked to the Platts Japan Korea Marker, with deductions for fixed LNG shipping costs and a fixed liquefaction fee.
The execution of the IPM agreement is contingent upon Cheniere's positive final investment decision regarding the Sabine Pass Liquefaction Expansion Project.
This project is expected to have a total production capacity of up to 20 million tonnes per annum of LNG, including estimated debottlenecking opportunities.
In March, Cheniere Energy announced the substantial completion of Train 1 at the Corpus Christi Stage 3 Liquefaction Project in Texas, US.
This milestone signifies the handover of Train 1 and its associated systems from Bechtel Energy, the project's engineering, procurement and construction partner, to Cheniere.
In October 2024, Canadian Natural Resources reached a definitive agreement to acquire Chevron Canada's assets for $6.5bn (C$8.86bn).
The deal included a 20% non-operated interest in the Athabasca Oil Sands Project and a 70% operated interest in the Duvernay shale formation, along with associated assets, all situated in Alberta, Canada.
"Cheniere Energy inks production marketing deal with Canadian Natural Resources" was originally created and published by Offshore Technology, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
17 minutes ago
- Yahoo
Fevertree and Molson Coors to split cost of US tariffs
(Reuters) -Tonic maker Fevertree Drinks said on Thursday it would equally split costs of the 10% tariff to be imposed on the UK imports to the U.S. with brewer Molson Coors, as part of their recent tie-up to mitigate the short-term impact. Fevertree also said that Charles Gibb, its North America CEO, will step down and be succeeded by Judd Hausner, who brings extensive experience from the U.S. beer network. The British company, known for its premium cocktail mixers, counts the United States as its largest market, where it continues to deliver strong momentum bolstered by its partnership with the U.S. beer maker Molson Coors. In January, Molson Coors took a stake in Fevertree, securing exclusive rights to distribute and market the British company's cocktail mixers and tonic waters in the U.S. Fevertree reiterated its annual revenue growth forecast. Sign in to access your portfolio
Yahoo
27 minutes ago
- Yahoo
UK's Wise to move primary listing to the US
(Reuters) -Money transfer company Wise on Thursday said it intends to move its primary listing to the U.S. from London, the latest British company to do so. Wise, which will maintain a secondary listing in London, had been exploring its listing options lately - a move seen across the London markets due to stunted growth opportunities and lower valuations at home. "We believe the addition of a primary U.S. listing would help us accelerate our mission and bring substantial strategic and capital market benefits to Wise and our owners," the company said. Metals investor Cobalt Holdings, backed by Glencore, also scrapped its plans for a London IPO on Wednesday, which, according to one source, was driven by a lack of demand. In recent months, Unilever chose Amsterdam for the primary listing of its ice-cream business while fast-fashion firm Shein has been considering Hong Kong after plans for a London IPO were met with Chinese regulatory hurdles, according to sources.
Yahoo
27 minutes ago
- Yahoo
India coal-fired power output falls at fastest pace in five years in May
By Sudarshan Varadhan and Sethuraman N R SINGAPORE (Reuters) - India's coal-fired electricity generation in May fell at the fastest pace in five years, as overall power demand declined for the first time since August and renewable energy generation rose to a record high, a Reuters analysis of government data showed. Increased generation from less polluting power sources including hydro and nuclear also led to a decline in natural gas-fired power output, which fell at the steepest rate in nearly three years, a review of data from the federal power grid regulator Grid India showed. The decline in demand for fossil fuels for electricity generation in India - the second largest importer of coal and the fourth biggest buyer of liquefied natural gas (LNG) - comes at a time when benchmark prices of the fuels are under pressure. "Demand from the power sector - typically strong during peak season - remained limited. Additionally, economic headwinds have weighed on non-power industries," Indian coal trader I-Energy said in a note this week. Asian spot LNG prices have declined more than 15% this year, while benchmark prices of thermal coal have plunged to more than 4-year lows due to weak demand from China and India - the top coal importing countries. India's coal-fired power generation fell 9.5% in May on an annual basis to 113.3 billion kilowatt-hours (kWh), a review of data from the federal power grid regulator Grid India showed, marking the sharpest year-on-year decline since June 2020, when the COVID-19 pandemic led to a nationwide lockdown. A sustained slowdown in demand for fossil fuels for power generation could help the world's third largest emitter of greenhouse gases slash emissions after it previously boosted its reliance on coal to power a post-pandemic economic recovery. India has repeatedly cited lower per capita emissions compared with richer nations to defend its high coal use. Utilities in China and India have cut dependence on coal and LNG imports this year also due to record coal stocks and slower growth in power demand. India had forced gas-based power plants to operate last year to meet high power demand as temperatures soared. As power demand is lower and prices are high for gas-fired power to be competitive with other sources such as solar this year, utilities will buy fewer volumes, said Prashant Vashisth, vice president at Moody's affiliate ICRA. Total electricity generation in May fell 5.3% year-on-year to 160.4 billion kWh, the data showed, with the highest peak demand about 8% lower on-year at 231 GW, mainly due to milder temperatures, government officials said. Peak demand - a measure of the maximum electricity requirement over any given time - reached 250 GW during a heatwave in May 2024. Meanwhile, renewable energy output surged to a record high of 24.7 billion kWh in May, up 17.2% from a year earlier, with its share in the overall power mix rising to 15.4% - the highest since records began in 2018. The share of coal in India's power mix dropped to 70.7% in May, down from 74.0% a year earlier and the lowest level since June 2022, according to the Grid India data. Hydropower generation jumped 8.3% to 14.5 billion kWh, accounting for 9.0% of total generation compared to 7.9% in May 2024, the data showed. Natural gas-fired power generation fell 46.5% annually to 2.78 billion kWh in May, the steepest decline since October 2022.
