Pieridae signs LNG supply deal with European offtaker

Pieridae Energy has entered into a term sheet to negotiate a binding liquefied natural gas sale and purchase agreement for the supply of Canadian-sourced LNG to Europe. 

Under the agreement, the offtaker will purchase up to 1 million tons per annum of LNG produced at the second train of the Goldboro export facility in Nova Scotia.

This contract is scheduled to begin from the start of commercial deliveries, currently estimated to be the first quarter of 2023 and last for a 10-year period, Pieridae said in its statement.

“After having contracted the entire output from train 1 with Uniper, this agreement moves Pieridae another step closer to the final investment decision on Train 2,” said Alfred Sorensen CEO for Pieridae Energy.

Riccardo Bortolotti, managing director of business development for Pieridae in London added the company is seeing a growing interest from utilities in Europe and beyond, for LNG offtakes, that can contribute to increase the security of supply as well as diversify price and volume risk in their portfolios.

The Goldboro LNG terminal project consists of an LNG processing facility, storage tanks and marine works located in Nova Scotia.

The facility is anticipated to produce approximately 10 million metric tons of LNG per year and have on-site storage capacity of 690,000 cubic meters of LNG.