BP Signs LNG Deal with Thai PTT

BP announced December 29 it has entered into an agreement to supply Thailand’s state-run PTT with 1 million metric tons of LNG per year for 20 years starting 2017. The LNG will be sourced from BP’s diverse portfolio of LNG, including the Freeport LNG project on the US Gulf coast.

“Thailand has become a significant LNG market and this agreement with PTT further demonstrates our LNG supply capability in the region,” said Paul Reed, Chief Executive of BP Integrated Supply and Trading. Commercial and pricing terms were not disclosed.

BP has a liquefaction tolling agreement for over 4.4 mt/yr LNG capacity at the Freeport LNG Project in Texas; it is under construction with production expected to begin in 2018.

The UK-based major has equity interests in LNG projects in, among other places, Angola and Indonesia (Tangguh LNG). The latter will have a third train up and running by 2020. BP recently also contracted to lift the entire output from the Eni-led Coral floating LNG project, expected to be developed offshore Mozambique.

Mark Smedley