USA: Antero pens gas supply deal with Chubu
Denver-based Antero Resources informed it has executed a 10 year agreement to sell 70,000 mmBtu/day of natural gas to Chubu US Gas Trading, a unit of Japan’s Chubu Electric, through the Freeport LNG terminal in Texas.
The independent exploration and production company will begin shipping volumes once the facility is placed into commercial service, which is expected to occur at the end of 2018 or the beginning of 2019, Antero said in a statement.
Antero will receive NYMEX based pricing and deliver gas from the Sherwood processing plant utilizing existing firm transportation on Columbia Gulf transmission pipeline, it added.
In July 2012, Freeport LNG executed 20-year use-or-pay liquefaction tolling agreements with Osaka Gas and Chubu Electric equivalent to the minimum guaranteed production capacity of its first train.
Last year the two Japanese companies also agreed to invest approximately $1.2 billion of equity funding for Freeport LNG’s export facility on Quintana Island.