Tuesday 30 / April / 2024
Muscat: Oman LNG announced the signing of a Sales and Purchase Agreement (SPA) with Shell International Trading Middle East Limited (SITME) to deliver a total of up to 1.6 million metric tonnes per annum of LNG for 10 years starting from 2025.
The agreement comes as a new step in the steadfast collaboration between the two companies, with Shell becoming the largest off-taker of LNG from Oman LNG.
Commenting on this agreement, Hamed Mohammed Al Nu’amani, CEO of Oman LNG- said, "This Sales and Purchase Agreement means Shell will become our largest term buyer and solidifies a crucial relationship with a major industry partner. It not only underscores the trust and confidence Shell has in LNG from Oman but also strengthens our collaborations and opportunities to expand our LNG market access."
By entering into this SPA, Oman LNG not only reinforces its reputation as a dependable LNG provider but also demonstrates its adeptness in efficiently managing business operations to deliver secure and sustainable energy to global customers.
On his turn, Walid Hadi, Senior Vice President and Country Chairman of Shell in Oman said, “This agreement offers an important addition to our LNG and integrated gas portfolio and helps to ensure that we can meet the growing demand for flexible and reliable energy from our global customers. Shell is proud of its role as the largest private shareholder in Oman LNG for the next decade.”
The agreement is strengthened by the reputation and credibility of Oman LNG as a reliable and trusted LNG supplier around the globe, coupled with the effective management of business processes to produce clean energy delivered to customers around the world safely and reliably. Furthermore, the LNG plant in Qalhat, Sur has the capacity to receive and process additional volumes, where in 2023, its production rate stood at 11.5 million metric tonnes per annum, exceeding the enhanced nameplate capacity.
