Pavilion Energy has signed a deal with state-owned firm Qatar Petroleum’s liquefied natural gas (LNG) trading arm for up to 1.8 million tonnes per annum (Mtpa) of LNG to Singapore.
The ten-year LNG sale and purchase agreement will take effect from 2023. Pavilion Energy is owned by Singapore’s state-owned investment firm Temasek Holdings.
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It marks the first deal for the trading arm, named QP Trading, as well as its establishment and commencement of operations.
Qatar Petroleum president and CEO Saad Sherida Al-Kaabi stated: “This new addition to Qatar Petroleum’s capabilities and reach is a very important step in reaffirming our belief in LNG’s economic and environmental value proposition and its cornerstone role in energy transition.
“This deal represents the first long-term LNG arrangement containing specific environmental criteria and requirements designed to ultimately reduce the carbon footprint of the LNG supplies, which is fully aligned with our long-standing position in support of our environment.”
The agreement includes precise environmental criteria and requirements. As part of this, a statement regarding greenhouse gas (GHG) emissions caused from ‘well to discharge port’ for each cargo delivered will be issued.
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By GlobalDataAl-Kaabi added that Qatar Petroleum has already started the implementation of a series of projects and steps to lower carbon emissions.
The company also started initiatives to capture over five million tonnes of CO2 per annum by 2025.
Pavilion Energy Trading & Supply chairman Tan Sri Muhammad Hassan Marican stated: “The inaugural LNG cargo Pavilion Energy imported into Singapore for downstream supply in 2018 originated from Qatar.”
Marican added that partnership with QP will enable Pavilion to strengthen its market in Singapore.
Last month, Qatar Petroleum’s affiliate QTL signed a long-term agreement with the UK’s National Grid Grain LNG for liquefied natural gas (LNG) storage and redelivery capacity.
In April, Qatar Petroleum completed the integration of SEEF Limited’s (SEEF) operations into QP.
