Sinopec and QatarEnergy Ink Long-term LNG Deal

The Deal Will See QatarEnergy Supply 4 million tons of LNG to Sinopec Every year, and the Two Sides Carry out Integrated Cooperation on the Expansion Project of the Northern Gas Field

BEIJING, Nov. 22, 2022 /PRNewswire/ — China Petroleum & Chemical Corporation (HKG: 0386, “Sinopec”) and QatarEnergy┬áhave┬ásigned a┬álong-term Liquified Natural Gas (LNG) purchase and sales agreement for┬áthe annual supply of┬áfour million tons of LNG to Sinopec.┬áBoth parties┬áwill┬áwork together on┬áQatar’s North Field Expansion Project (“the Project”).

The 27-year long-term LNG purchase and sale agreement is an important part of the integrated cooperation between the two sides. Sinopec Chairman Ma Yongsheng and Qatari Minister of State for Energy Affairs, President and CEO of QatarEnergy, H.E. Saad Sherida Al-Kaabi, formally signed the agreement together during an online ceremony.

China and Qatar have enjoyed friendly and close ties while building synergies in the energy sector, Ma said. The healthy level of diplomacy creates a favorable environment for both sides to continuously deepen their cooperation.

“The signing of this agreement aligns┬áwith Sinopec’s adherence┬áto green, low-carbon, safe,┬áand sustainable development,” Ma said. “The LNG supply will┬áhelp meet the demand for natural gas in the Chinese market, but also further optimize China’s energy mix while enhancing the┬ásecurity, stability,┬áand reliability of energy supply.”

“We are delighted to have reached this agreement, which will further strengthen the excellent bilateral relationship between China and Qatar,” said H.E. Mr. Al-Kaabi. “The┬áagreement┬áwill help to meet China’s growing demand for clean energy. This cooperation, which spans different fields and┬áwill last for┬á27 years, marks┬áan┬áextraordinary and exciting new chapter of cooperation between the two sides.

Commissioning of the Northern Gas Field Expansion Project is slated for 2026. This agreement is the second long-term LNG purchase and sale agreement signed between Sinopec and QatarEnergy, and the first long-term LNG purchase and sale agreement for the Project.

For more information, please visit Sinopec.

SOURCE SINOPEC