TotalEnergies and South Korea's KOGAS Sign 10-Year LNG Supply Deal

TotalEnergies announced on Tuesday that it has signed a 10-year agreement with KOGAS to supply 1 million metric tonnes of liquefied gas (LNG), starting in 2027.

In a joint announcement, the companies stated that the deal between TotalEnergies and KOGAS will increase the amount of LNG delivered to KOGAS to 3 million tonnes annually from 2028.

The French oil giant is actively looking to expand its customer base in Asia where the demand for LNG is expected to double between 2050 and 2050. TotalEnergies saw its natural gas sales surpass oil for the very first time in 2014, thanks to a worldwide push to use less polluting fuels.

In a statement, KOGAS CEO Yeonhyechoi stated that "this engagement reinforces our commitment in securing a reliable LNG supply amid the rapidly changing global energy environment."

Total said it will deliver LNG from its global pipeline, including its volumes produced in the United States.

The financial details of the transaction were not revealed.

(source: Reuters)