PGNiG to buy LNG from Venture Global’s Plaquemines terminal

Polish Oil and Gas Company (PGNiG) has signed an agreement to buy an additional 1.5 million metric tonnes of liquefied natural gas (LNG) a year from US-based Venture Global’s Plaquemines terminal.

Under the agreement, the volume of LNG from Plaquemines terminal will increase from one million tonnes per annum (Mtpa) to 2.5Mtpa.

LNG deliveries are set to start on the commercial operation date, which is currently expected in 2023.

PGNiG noted that the new amendment raises the company’s total commitment with Venture Global projects to 3.5Mtpa, sourced from Calcasieu Pass (1Mtpa) and Plaquemines LNG (2.5Mtpa).

PGNiG management board president Piotr Woźniak said: “We are increasing our LNG portfolio in terms of volumes, which we will receive from the US after 2022, i.e. after the expiration of the Yamal contract.

“Thanks to good relations with our American partners and effective negotiations, we have achieved a highly competitive LNG supply from the Plaquemines terminal.”

From 2022 and 2023, the company will receive a total of 3.5Mtpa of LNG from Venture Global’s export facilities in Louisiana on the Gulf of Mexico.

Venture Global co-CEOs Mike Sabel and Bob Pender jointly said: “With Calcasieu Pass already under construction and progressing on schedule, this agreement further demonstrates our ability to offer low-cost LNG from our Plaquemines project to our international partners.

“Plaquemines LNG uses the same highly efficient and reliable process system as Calcasieu Pass, provided by Baker Hughes, a GE company (BHGE).”

Last month, the Federal Energy Regulatory Commission (FERC) issued a final environmental impact statement for both the Plaquemines LNG facility and the associated Gator Express Pipeline.