Commonwealth Projects and Gunvor Group have announced their respective subsidiaries, Commonwealth LNG and Gunvor Singapore, have signed a heads of agreement (HOA). The HOA anticipates the negotiation and finalisation of a definitive 15-year LNG sale-and-purchase agreement (SPA) for 1.5 million tpy of LNG offtake from the Commonwealth LNG export project under development in Cameron Parish, Louisiana.
Kalpesh Patel, Gunvor Co-Head of LNG Trading said, “The agreement with Commonwealth LNG is a significant step in executing Gunvor’s overall strategy of uncovering and securing low cost resources and seamlessly delivering them to high value markets. We look forward to working with the Commonwealth team as they continue to progress their project.”
“We are proud to be entering into an agreement for a portion of our LNG offtake with the Gunvor Group – one of the world’s premier commodities trading houses,” said Paul Varello, Commonwealth’s President and CEO. “Our mantra is to develop LNG solutions for the next generation; in Gunvor, we have found a commercial partner who not only shares that vision, but through its creativity and innovation exemplifies it.”
Commonwealth LNG expects to take a final investment decision on the project later next year.
Read the article online at: https://www.tanksterminals.com/terminals/13062019/commonwealth-lng-and-gunvor-singapore-sign-heads-of-agreement/