Oil & Gas

Qatar Energy (QP) signed a significant agreement on December 2nd to supply China with substantial quantities of liquefied natural gas (LNG) annually. The new long-term sale and purchase agreement with Shell will see Qatar provide 3 million tons of LNG per year to China, starting in January 2025. This deal highlights the growing global energy demand and the expanding role of China, which is expected to become the largest LNG market in the world.

The deal was celebrated by Qatar Energy's Minister of State for Energy Affairs, Eng. Saad bin Sherida Al-Kaabi, who expressed his satisfaction with the partnership. Under the agreement, Qatari LNG will flow to China for a period of at least 10 years, with the possibility of extending up to 15 years. Al-Kaabi emphasized the importance of this deal in meeting the increasing energy needs globally, as well as strengthening China's position as a leading LNG consumer.

Minister Al-Kaabi also noted the strong collaboration between Qatar Energy and Shell, with this agreement marking their 11th LNG export sales contract. He praised the successful completion of the deal, which underscores the continued ability of both parties to meet the diverse energy requirements of their customers worldwide. This agreement demonstrates Qatar’s ongoing commitment to supporting global energy needs and ensuring the stability of international LNG markets.

This long-term agreement is a reflection of the growing energy ties between Qatar and China, with both countries seeking to ensure long-term energy security. Qatar Energy’s partnership with Shell underscores their strong relationship and ability to adapt to the evolving energy landscape, further solidifying Qatar’s role as a major global LNG supplier.