Malaysian energy giant Petronas, through its Petronas LNG, has entered into a liquefied natural gas sale and purchase agreement (SPA) with Korea Midland Power (KOMIPO). Under the SPA, KOMIPO has agreed to purchase approximately 0.24 million tonnes per annum of LNG from Petronas LNG on a delivery ex-ship (DES) basis for 5 years, beginning 2020, Petronas informed in its statement.
The deal follows a memorandum of understanding the two companies have signed previously to cooperate on the liquefied natural gas business sector, but also to develop renewable energy projects.
Commenting on the deal, Petronas vice president of LNG marketing and trading, Ahmad Adly Alias , said it builds the relationship between Petronas and KOMIPO, one of South Korea’s largest power generation companies, and increases the company’s customer base in the region.