Cheniere's Subsidiary Signs Sale, Purchase Agreement With Galp Trading

(RTTNews) - Monday, Cheniere Energy, Inc. (LNG) announced that its subsidiary, Cheniere Marketing, LLC, has entered into a 20-year liquefied natural gas sale and purchase or SAP agreement with Galp Energia's subsidiary, Galp Trading S.A.

Under this SAP agreement, Galp Trading will purchase approximately 0.5 million tonnes of liquefied natural gas annually from Cheniere Marketing on a free-on-board basis.

The company stated that the pricing will be linked to the Henry Hub price, in addition to a fixed liquefaction fee.

Deliveries are projected to begin in the early 2030s, pending a favorable Final Investment Decision on Train Eight of the Sabine Pass Liquefaction Expansion Project, which seeks to establish up to 20 million tonnes per annum of LNG capacity.