As of 2026, the Gulf country will supply up to two million tonnes of LNG; agreement is valid for 15 years
In the midst of the global energy crisis that mainly affects Europe, due to the conflict between Russia and Ukraine which has already passed nine months, the Qatar signed a contract this Tuesday, 29, to supply liquefied natural gas (LNG) to the Germany for 15 years🇧🇷 This agreement, closed between Qatar Energy and the American company ConocoPhilips, is the first of its kind for Europe from the North Field expansion project in Qatar, it will contribute “to the efforts to support energy security in Germany and Europe”, declared the Minister of Energy of Qatar, Saad Sherida Al-Kaabi, at a press conference. According to this agreement, the Gulf country will supply, from 2026, “up to two million tons of LNG per year”, highlighted the minister. “These deals are important for several reasons, they mark the first long-term LNG supply contract for Germany, with a supply period extending over at least 15 years, thus contributing to Germany’s long-term energy security. ”, Saad al-Kaabi said at a joint press conference with ConocoPhillips CEO Ryan Lance. The gas will be purchased through ConocoPhillips, a partner of Qatar Energy for a long time, and will be sent to the new terminal that Germany is finalizing in Brunsbuntell (north).
QatarEnergy and German utility companies have been discussing long-term LNG deals for much of this year as Berlin searches for alternatives to Russia, which is Germany’s biggest gas supplier. Europe’s largest economy, which depends mainly on natural gas to power its industry, aims to replace all energy imports from Russia by mid-2024. Asia, mainly China, Japan and South Korea, is the main market for the gas from Qatar. But now the kingdom is in the crosshairs of European countries, which have been looking for new energy suppliers since the Russian invasion of Ukraine, when competition for LNG became intense, with Europe in particular needing large quantities to help replace the Russian pipeline that used to represent almost 40% of the continent’s imports. Negotiations are difficult because European countries refuse to sign long-term contracts, such as those doha closes with its Asian customers, just like last week, when Qatar closed a 27-year supply agreement with China, a record in the sector.
*With information from AFP and Reuters