Kwok W Wan, LONDON: Two more deals to secure US liquefied natural gas (LNG) production have been signed in recent days, pushing forward the case to green-light export projects. But lingering concerns remain over the effect on domestic gas prices.
South Korea’s Kogas signed a 20-year agreement to buy 3.5 million tonnes a year (t/y) from train three of Cheniere’s Sabine Pass export project on 30 January. And on 27 January, BG Group increased its offtake commitment to 5.5 million t/y, from 3.5 million t/y, when Sabine Pass’s trains two, three and four are commissioned.
"Kogas is our fourth foundation customer and we have now sold 16 million t/y of the 18 million t/y [of export capacity] being developed at Sabine Pass," Cheniere chief executive officer Charif Souki said. He added that the decision to sell additional LNG volumes to BG...