Kuwait Inks LNG Deal With BP

Kuwait Petroleum Corporation (KPC) on Tuesday signed a contract with British Petroleum (BP) to buy LNG.

As per the deal, BP will supply 6-8 LNG shipments per year over five years, reports Kuwait News Agency (KUNA).

With this deal, the KPC marketing sector has managed to secure Kuwait's needs of LNG till the end of November, KPC's International Market Managing Director Nasser Al-Mudhaf said.

On Sunday, KPC signed a $12 billion six year LNG deal with Shell. Last month, Kuwait signed an LNG deal with Qatargas under which the KPC will import LNG till the end of 2014.

Any additional LNG needs, during the summer, would be secured through spot delivery contracts, Al-Mudhaf added, reports KUNA.

He explained that KPC negotiates and signs contracts with LNG providers, on behalf of the Ministry of Electricity and Water, to secure its needs of natural gas for power generation and other purposes, adds KUNA.

Ministry of Electricity and Water's facilities consume 2.5 million tons of LNG on a daily basis, Al-Mudhaf said, adding that this figure is expected to go up to seven million tons per day after five years.