ConocoPhillips signed a commercial agreement to lock down additional regasification capacity at the Gate LNG terminal in the Netherlands.
Gate Terminal B.V., a joint venture between Vopak and Gasunie, is an LNG hub located at the Port of Rotterdam. The hub contributes to both the Netherlands’ natural gas supply and northwest Europe, ConocoPhillips said in a Sept. 14 press release.
Moscow’s decision to invade Ukraine in early 2022 led to a drastic drop in Russian gas exports to Europe and the U.K., resulting in a massive energy crunch. U.S. LNG exporters were quick last year to seize on that opportunity, with many aiming to continue providing Europe with LNG due to the massive reduction of Russian energy supply in that market.
“Adding capacity at the Gate LNG terminal fits well with our efforts to deliver reliable, lower-carbon energy into Europe from highly competitive LNG supply,” Bill Bullock, ConocoPhillips executive vice president and CFO, said in the release.
The Gate LNG terminal began operations in 2011 and Houston-based ConocoPhillips’ 15-year throughput agreement for 1.5 million tonnes per annum, or 2 Bcm equivalent, starts in September 2031.
The agreement in the Netherlands further complements ConocoPhillips’ LNG resource positions in Qatar and Australia; offtake and equity in Sempra’s recently sanctioned Port Arthur LNG Phase 1 project on the U.S. Gulf Coast; regasification agreement at the German LNG terminal announced last year; and the offtake agreements at Mexico Pacific’s Saguaro LNG export facility on the west coast of Mexico, announced last month.
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