OQT LNG agreement signing event
The long-term supply partnership is a designed to diversify Oman’s LNG sourcing beyond the Middle East. (Source: LNG Alliance)

The Oman government’s commodity trading business, known as OQ Trading (OQT), will purchase 0.6 mtpa of LNG from Amigo LNG, the Mexican subsidiary of Singapore’s LNG Alliance, according to the terms of a deal announced on April 30.

The definitive 15-year LNG (LNG) sales and purchase agreement (SPA) represents Oman’s strategy to diversify its LNG sourcing beyond the Middle East and Asia; Amigo LNG is pursuing global commercialization, the LNG Alliance statement said.

Amigo is expected to begin making LNG deliveries from its export terminal in Guaymas, Sonora during second-quarter 2028. Mexico’s West Coast provides a direct maritime route to Asia, which cuts down on shipping time and adds flexibility to supply chain operations. Amigo’s facility is designed for a nameplate capacity of 7.8 mtpa.

A deal of this nature has been in the works for several years. In 2022, Muthu Chezhian, CEO at LNG Alliance told Hart Energy about the strategy. At that time, the plan was to begin shipments by January 2026. The company received a permit in December 2020 from the U.S. Department of Energy to export domestic gas to Free Trade Agreement (FTA) and non-FTA countries.

The agreement reinforces LNG Alliance’s “position as a new, reliable energy bridge from Mexico’s West Coast to global markets and demonstrates the strength of Mexico’s role in shaping the future of sustainable energy transition,” Chezhian said in the April 20 news release.

OQT’s CEO Wail Al Jamali said securing supply from trusted partners continues its LNG supply diversification strategy, strengthens the resilience of its energy supply chain and will “reinforce our long-term commitment to providing cleaner, more reliable energy solutions for our customers in the evolving energy landscape.”

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