Venture Global, Shell increase Calcasieu Pass LNG supply deal
Venture Global LNG and Shell have agreed to alter their existing sales and purchase agreement for the delivery of liquefied natural gas from the Calcasieu Pass export plant under development in Cameron Parish, Louisiana.
Under the new agreement, Shell will now purchase 2 million tonnes per annum of LNG from the export facility, Venture Global said in its statement on Tuesday.
The deal with SHell, together with an SPA previously executed by Venture Global with Edison, brings the total committed capacity under binding, twenty-year FOB contracts to 3 mtpa.
Commenting on the additional volumes agreed with Shell, Mike Sabel and Bob Pender, co-CEOs of Venture Global LNG, said, “Shell’s additional purchase is a huge milestone,” dubbing it a breakout event driving the project towards starting construction later in the year.
Venture Global LNG is developing both the 10 mtpa Venture Global Calcasieu Pass facility at the intersection of the Calcasieu Ship Channel and the Gulf of Mexico and the 20 mtpa Venture Global Plaquemines LNG facility in Plaquemines Parish, Louisiana on the Mississippi River, approximately 30 miles south of New Orleans, Louisiana.