Commonwealth LNG Confirms 20-Year Sale and Purchase Agreement with PETRONAS
Commonwealth LNG currently has 4 MTPA of offtake under long-term agreement, with line of sight toward finalizing its commercial book ahead of a targeted final investment decision in Q3 2025 and anticipated first LNG production in 2029.
'We are excited to collaborate with PETRONAS, a trusted LNG supplier with decades of expertise,' said Commonwealth President and CEO Farhad Ahrabi. 'We value this partnership and the endorsement of our team by this recognized industry leader.'
Meanwhile, Shamsairi M Ibrahim, Vice President of LNG Marketing and Trading at PETRONAS, shared, 'This agreement underscores PETRONAS' commitment to fostering global partnerships that ensure reliable, sustainable and long-term LNG supply for our customers. Collaborating with Commonwealth LNG will expand our supply node and strengthen our presence in the global LNG market.'
Commonwealth's phase 1 development is expected to bring an investment of more than $11 billion to Louisiana and generate an estimated $3.5 billion in annual export revenue. The project is expected to employ approximately 2,000 workers at the peak of construction and provide approximately 275 high-paying jobs when the facility begins operations in late 2029.
Commonwealth is owned by Kimmeridge SoTex Holdco LLC ('SoTex'), which was founded by Kimmeridge, an asset manager focused on the energy sector. Through SoTex, which also holds an upstream natural gas development company called Kimmeridge Texas Gas, Kimmeridge is building America's first integrated gas independent to deliver low-cost natural gas from wellhead-to-water and meet burgeoning demand for responsibly produced LNG across global markets.
The SPA will become fully effective upon the satisfaction of customary conditions, including an affirmative final investment decision on the Project.
About Commonwealth LNG
Commonwealth LNG is a 9.5 MTPA liquefied natural gas (LNG) export terminal project located on the Calcasieu River on the Gulf Coast near Cameron, Louisiana. The project's leadership team is committed to building a world-class LNG facility by staying relentlessly focused on managing risk and lowering cost.
Website: www.CommonwealthLNG.com
LinkedIn: www.linkedin.com/company/commonwealth-lng/
About PETRONAS
PETRONAS is a global energy group with operations in over 100 countries. Through its integrated LNG value chain and strong sustainability focus, PETRONAS delivers reliable energy solutions to meet rising global demand.
About Kimmeridge
Founded in 2012 by Ben Dell, Dr. Neil McMahon and Henry Makansi, Kimmeridge is an alternative asset manager focused on the energy sector. The firm is differentiated by its direct investment approach, deep technical knowledge, active portfolio management, proprietary research and data gathering.
Media Inquiries:
Commonwealth LNG
Lyle Hanna
VP, Corporate Communications
281-794-9606
[email protected]
Kimmeridge
Daniel Yunger / Hallie Wolff / Emma Cloyd
[email protected]
917.574.8582 / 917.842.1127
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