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Cheniere enters 25-year LNG sales agreement with Taiwanese company

Cheniere Energy Inc.'s marketing subsidiary Cheniere Marketing International LLP agreed to sell about 2 million tonnes of LNG per year to CPC Corp. Taiwan for a 25-year term.

Under the LNG sale and purchase agreement, Cheniere would deliver LNG supplies on a delivered ex-ship basis, with a purchase price indexed to the monthly Henry Hub price, according to an Aug. 10 news release. The contract is scheduled to start in 2021.

The agreement follows a nonbinding heads of agreement signed in July. Cheniere, the pioneering U.S. LNG exporter, owns and operates the Sabine Pass LNG export terminal in Louisiana and is developing another LNG facility near Corpus Christi, Texas.