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December 18, 2024
Total Energies has secured new LNG contracts in Asia with Indian Oil Corporation and Korea South-East Power, enhancing its market presence and supporting decarbonization efforts.
Date: June 20, 2024
Courbevoie, France-Total Energies, a multinational integrated energy and petroleum company has recently bolstered its LNG business strategy with the signing of two new medium- and long-term contracts in Asia, marking a significant step in its expansion efforts.
The initial agreement entails a Sales and Purchase Agreement (SPA) between us and Indian Oil Corporation (IOCL). It outlines the commitment to deliver up to 800,000 tons of LNG annually to India starting in 2026, spanning a period of ten years.
The second agreement is a Memorandum of Understanding with Korea South-East Power for supplying approximately 500,000 tons of LNG annually to South Korea, spanning a five-year period starting in 2027.
These agreements enable Total Energies to secure mid-term markets for its worldwide LNG supply portfolio. They also bolster the company's presence in Asian markets, where it is particularly committed to supporting its customers with their decarbonization strategies.
Mr.Gregory Joffroy, Senior Vice President, LNG at TotalEnergies, said, “We are delighted to have been selected by IOCL and Korea South-East Power to supply LNG to India and Korea. These contracts enable us to contribute to the energy security and transition of these countries, to which we have an enduring commitment.”
Total Energies ranks third globally in LNG, managing a portfolio of 44 million tonnes per year as of 2023 and benefits from its interests in liquefaction plants in all geographies. The company maintains a comprehensive presence across the LNG value chain—from production and transportation, LNG value chain, and access to over 20 million tonnes per year of regasification capacity in Europe.
Total Energies aims to raise the proportion of natural gas in its sales portfolio to nearly 50% by 2030. This initiative is part of their strategy to cut carbon emissions and eradicate methane emissions linked with the entire natural gas process chain. Additionally, they plan to collaborate with local partners to facilitate the shift from coal to natural gas.
