Qatar Petroleum president and CEO Saad Sherida al-Kaabi has hosted a signing ceremony for a long-term LNG sale and purchase agreement (SPA) between QP’s affiliate, Ocean LNG Limited, and Brazil-based CELSE-Centrais Elétricas de Sergipe SA (CELSE), a joint venture between GG Power and Ebrasil.
Under the terms of the agreement, Ocean LNG, which was established for marketing QP’s future international LNG supply portfolio sourced outside of Qatar, will supply 1.3mn tonnes per annum of LNG to CELSE, on an ex-ship basis.
The shipments, which will begin in 2020, will be for use at CELSE’s Porto de Sergipe power project near Aracaju in the Brazilian state of Sergipe.
Al-Kaabi said, “This is the first SPA to be entered into by Ocean LNG, making it the first supplier to deliver LNG to Brazil under a long-term contract. It represents another step towards enhancing our position as a global LNG leader and extending our reach to all markets.
“Brazil is an important LNG market and we are proud to contribute to meeting Brazil’s gas demand. We look forward to a long-term relationship with CELSE and its shareholders, and to work together to meet Brazil’s energy needs.”
CELSE CEO Eduardo Malan said, “This is an important milestone in the development of the Porto de Sergipe power plant. CELSE is proud to partner with LNG industry pioneers QP and ExxonMobil and their newly-formed Ocean LNG joint venture as its long-term fuel supplier.” Ocean LNG is a joint venture company owned by a QP affiliate (70%) and an ExxonMobil affiliate (30%), and has an established branch office in the Qatar Financial Centre (QFC) in Doha to manage and undertake its activities.
Dignitaries from QP and CELSE during the SPA signing ceremony. Under the terms of the agreement, Ocean LNG, which was established for marketing QP’s international LNG supply portfolio sourced outside of Qatar, will supply 1.3mn tonnes per annum of LNG to CELSE.