Qatar Petroleum’s newly established LNG trading arm snags Singapore deal
LNG giant Qatar Petroleum has established and started operations of QP Trading, as its dedicated LNG trading arm.
QP Trading is mandated to build a globally diversified portfolio of third-party and equity LNG. In addition, QP Trading will manage the price risk exposure of its portfolio through physical and derivatives trading.
These new capabilities, combined with a customer – and market-centric approach, will enable QP Trading to respond with greater agility to the evolving needs of its customers and to maximize the value of its portfolio in a dynamic market.
Saad Sherida Al-Kaabi, minister of state for energy affairs, the president and CEO of Qatar Petroleum made the announcement during a ceremony held virtually today to celebrate the signing of QP Trading’s first deal with Singapore’s Pavilion Energy Trading & Supply.
Commenting on the establishment of QP Trading, Al-Kaabi said, “Under the agreement, QP Trading will deliver up to 1.8 million tons of LNG per annum for 10 years to Singapore, reflecting our commitment to respond to the needs of our customers, including supply security, price competitiveness, and flexibility.”
Al-Kaabi highlighted the unique environmental aspects of the agreement, saying, “This deal represents the first long-term LNG arrangement containing specific environmental criteria and requirements designed to ultimately reduce the carbon footprint of the LNG supplies, which is fully aligned with our long-standing position in support of our environment. Qatar Petroleum is already implementing a series of projects and initiatives to reduce emissions and to capture and sequester more than 5 million tons of CO2 per annum by 2025, placing us firmly on the road to become a leader in the de-carbonization of the LNG value chain.”