QatarEnergy is in advanced talks with Venture Global for a long-term supply deal to buy at least three million tonnes of LNG per year, three people with knowledge of the negotiations told Reuters.
QatarEnergy has been buying liquefied natural gas on the spot market from Venture Global to supply some of its customers due to the ongoing blockage of the Strait of Hormuz as the US-Israeli war on Iran and Tehran’s strikes this year have sharply curtailed shipping.
Reuters could not immediately learn the timeline of any agreement between Venture Global and QatarEnergy, or how long a contract could run. Neither company immediately responded to requests for comment.
Venture Global is the US supplier with the most uncommitted LNG capacity and could become the second largest exporter in the country when it starts producing from its CP2 plant currently under construction in Louisiana.
An agreement could become the second major long-term deal that QatarEnergy signs with a US exporter this year.
On Thursday, Cheniere, the largest US exporter of liquefied natural gas, announced a long-term deal to supply QatarEnergy with four million tonnes per annum (mtpa) from 2031 to 2054.
Two million tonnes per year will be sourced from Cheniere’s Sabine Pass facility in Louisiana, and another two mtpa will come from its Corpus Christi terminal in Texas.
(Reporting by Curtis Williams in Houston; Editing by Nathan Crooks and Daniel Wallis)
