Glencore is pleased to announce that one of its subsidiaries and Cheniere Marketing, LLC (“Cheniere Marketing”) have entered a binding liquefied natural gas (“LNG”) sale and purchase agreement (“SPA”).
The SPA establishes the key commercial terms for the long–term purchase of approximately 0.8 million tonnes per annum of LNG on a free-on-board basis for a term of approximately 13 years beginning in April 2023. The purchase price for LNG under the SPA is indexed to the Henry Hub price, plus a fixed liquefaction fee.
Alex Sanna, Head of Oil Marketing, Glencore, commented:
“We are pleased to partner with Cheniere, one of the World’s leading LNG providers. LNG represents one of our division’s key strategic pillars and this long-term agreement is a testament of our intention to continue to grow the business.”