US-based Venture Global LNG has entered into a long-term sales and purchase agreement (SPA) with Inpex Energy Trading Singapore, a Singapore-based subsidiary of oil and gas company Inpex, to supply liquefied natural gas (LNG) from the CP2 LNG project.
Under the terms of the agreement, Inpex’s subsidiary will purchase about one million tons per annum (mtpa) of LNG for 20 years.
The agreements have been signed to procure LNG from Venture Global LNG’s third project, the CP2 LNG project, which is expected to begin construction in 2023 in Louisiana following the receipt of necessary government approval.
With the LNG purchase agreement, the Inpex subsidiary is expected to join other CP2 LNG customers including Chevron, EnBW ExxonMobil, and New Fortress Energy.
The LNG will be shipped to Inpex’s Naoetsu LNG terminal along with other terminals of customers in Japan and other countries, stated Inpex.
Inpex global energy marketing executive officer and senior vice president Hiroshi Kato said: “This agreement will enable the INPEX Group to procure LNG from the United States on a long-term basis, expand its LNG supply capacity, and diversify its supply sources to further contribute to the stable supply of energy.”
To be located on a nearly 546-acre site in Cameron Parish, Louisiana, the CP2 LNG terminal is expected to have a liquefaction capacity of 20mtpa of LNG and a peak capacity of about 24mtpa.
The company expects to begin the full phase 1 operation of the project in Q2 2026.
Venture Global CEO Mike Sabel said: “Venture Global is delighted to welcome INPEX, Japan’s largest gas exploration and production company, as a customer at CP2 and expand our customer base in Asia.
“We are honoured to provide security of LNG supply to this key market and look forward to supporting INPEX as it delivers our competitive lower carbon energy to the region.”
