MUSCAT: TotalEnergies, a global multi-energy company with over 100,000 employees and presence in more than 130 countries as well as the world’s 3rd-largest low-carbon LNG company, has announced the signing of an agreement to extend its partnership with Oman LNG, a liquefied natural gas (LNG) joint venture located on the northeast coast of Oman.
Under this agreement, TotalEnergies, which holds a 5.54% stake in Oman LNG, will extend its interest in the joint venture beyond 2024 for ten more years. Additionally, the partnership with Qalhat LNG, an adjacent project in which Oman LNG has a stake, will be extended by five years.
One of the key elements of this partnership extension is a commitment to finance investments aimed at reducing greenhouse gas (GHG) emissions from the LNG plant. This move aligns with TotalEnergies’ efforts to contribute to environmental sustainability.
Furthermore, in January 2023, TotalEnergies and Oman LNG signed another agreement, wherein TotalEnergies committed to offtake 0.8 million metric tons of LNG annually from Oman LNG’s production for a period of ten years starting in 2025. This agreement solidifies TotalEnergies’ position as a major offtaker of Oman LNG’s LNG production.
The Oman LNG liquefaction complex consists of two liquefaction trains, each with an annual capacity of 3.8 million metric tons of LNG, bringing the site’s total production capacity to 11.4 million metric tons per year. This partnership extension underscores TotalEnergies’ commitment to sustainable energy solutions and its continued collaboration with Oman LNG.
“We are pleased to extend our partnership with Oman LNG. This LNG contributes to our supply of Europe and Asian markets, and strengthens our integrated and flexible global portfolio, in line with TotalEnergies’ ambition to increase its LNG production and long-term purchases by 50% by 2030,” said Julien Pouget, Senior Vice President Middle East & North Africa, Exploration & Production at TotalEnergies.
Oman LNG is majority-owned by the Government of the Sultanate of Oman (51%), the other shareholders being Shell (30%), TotalEnergies (5.54%), Korea LNG (5%), PTTEP (2%), Mitsubishi (2.77%), Mitsui (2.77%) and Itochu (0.9%). Qalhat LNG is also majority-owned by the Government of Oman (46.84%), Oman LNG (36.8%), Naturgy (7.36%), Itochu (3%), Mitsubishi (3%) and Osaka Gas (3%). TotalEnergies therefore holds an indirect interest in Qalhat LNG (2.04%) through its stake in Oman LNG.
Source: TotalEnergies
Date: 3 Nov 2023
