Santos LNG from Australia to Glencore Singapore

Santos, an Australian company, announced on Wednesday that it had signed a contract for a midterm supply of liquefied gas with Glencore Singapore. Glencore Singapore is a subsidiary of the London-listed Glencore.

Santos has agreed to supply 19 LNG cargoes or approximately 0.5million tonnes of LNG annually over the course of three years plus a quarter.

The contract will begin in the fourth fiscal quarter of 2025, with LNG coming from the company's global portfolio.

Santos signed an agreement in May to supply 400,000 tons of LNG per year to Japanese energy company Hokkaido Gas for the next decade, starting in 2027.

Santos CEO Kevin Gallagher stated in a press release that "there continues to be an extremely strong demand for high heating value LNG in Asia from projects such Barossa LNG and PNG LNG."

In May, the Australian government announced a plan to increase natural gas production despite its commitment of achieving net zero carbon emission by 2050. This is a sign that Asian partners are increasing their demand.

(source: Reuters)