Woodside Energy Trading Singapore Pte Ltd. said Dec. 24 that it has entered into a 13-year LNG sales deal with Germany's Uniper Global Commodities SE for the supply of LNG from the Australian company's global portfolio starting in 2021.
The deal follows a heads of agreement, or HOA, between Woodside and Uniper signed in September on the sidelines of the Gastech conference in Houston.
The volume of LNG to be supplied under the deal will initially be up to 500,000 tonnes per year, increasing to 1 million tonnes per year from 2025, Woodside said.
"Supply from 2025 is conditional upon a final investment decision on the Scarborough development," it said.
Woodside hopes to develop Scarborough as feedgas for its Pluto LNG export facility in Australia.
At the time of the HOA, Woodside CEO Peter Coleman said the agreement was flexible with respect to the source, destination of supply and logistics.
This, Coleman said, would help enhance trading and shipping efficiencies on both sides.
"It is not just about where the LNG goes to, and where we can supply from, but equally in the shipping and the size of cargoes," Coleman said. "From a pricing point of view, it is a standard oil-linked pricing formula, which is what we like."
Stuart Elliott is a reporter with S&P Global Platts. S&P Global Market Intelligence and S&P Global Platts are owned by S&P Global Inc.