Under the terms of the SPA, Petronas will purchase 1 million tonnes per annum (mtpa) of LNG from Venture Global’s third facility, CP2 LNG, for 20 years, according to a Venture Global statement.
Venture Global noted this builds upon its existing agreement with Petronas for 1 mtpa of LNG supply from the Plaquemines LNG plant in Louisiana.
Petronas joins other CP2 LNG customers in Europe, Asia, and the rest of the world.
To date, approximately 10.75 mtpa of the 14.4 mtpa nameplate capacity for CP2 Phase One has been sold, Venture Global said.
In May, Venture Global CEO Mike Sabel said that the company expects to sign and report on multiple 20-year LNG supply contracts in the incoming quarters.
“We’re very active in a significant number of negotiations for long-term contracts at this point, mostly all 20-year terms,” Sabel said.
CP2 LNG
In March, Venture Global announced it had launched the formal FID process for CP2 LNG.
Moreover, Venture Global recently initiated full mobilization and started site work at the company’s third LNG export facility, CP2 LNG.
The launch of the site work came shortly after CP2 received final approval and notices to proceed from the US FERC, and weeks after receiving its non-FTA export authorization from the US DOE.
The CP2 LNG plant site is situated adjacent to Venture Global’s existing Calcasieu Pass liquefaction plant in Louisiana, which commenced commercial operations in April.
It is expected to have peak production capacity of up to 28 mtpa.
Venture Global estimates that the total project costs for the CP2 project, including both phases, will range from about $27 billion to $28 billion.