Southeast Asian country Singapore has signed a deal to buy liquefied natural gas (LNG) from Qatar for a period of 10 years to 2032.
Qatar is currently the largest exporter of LNG in the world, with exports of 104.8 billion cubic metres (bcm), according to the BP report.
The Arab nation emerged a winning bidder in a tender launched by Singapore’s Pavilion Energy to select a LNG supplier.
Pavilion Energy has signed a supply agreement with QP Trading for the delivery of up to 1.8 million tonnes of LNG per year to Singapore from 2023.
“The inaugural LNG cargo Pavilion Energy imported into Singapore for downstream supply in 2018 originated from Qatar. We are delighted to enhance our strategic relationship with Qatar Petroleum, the world’s largest LNG producer,” said Tan Sri Mohd Hassan Marican, Chairman of Pavilion Energy,
“This partnership will strengthen our core Singapore market and our role as a global energy trader.”
For each LNG cargo delivery, QP Trading is required to submit a statement of its greenhouse gas (GHG) emissions measured from well to discharge port.
The tender launched by Pavilion Energy has sought for supply partners’ commitment to co-develop and implement a GHG quantification and reporting methodology for LNG.
QP Trading has been established Qatar Petroleum as its dedicated LNG trading arm.
Based in Doha, QP Trading will focus on building a globally diversified portfolio of third party and equity LNG.
In November 2019, Qatar Petroleum announced plans to increase the country’s LNG production capacity by 64% to 126 million tons per annum (mtpa) by 2027.
The increase in production is set to come from North Field’s extended productive layers. Currently, it produces 77mtpa.