BAKU, Azerbaijan, September 19. TotalEnergies has extended its sales and purchase agreement (SPA) with China National Offshore Oil Corporation (CNOOC), securing the delivery of 1.25 million tons of liquefied natural gas (LNG) per year to China until 2034, Trend reports.
The five-year extension is part of TotalEnergies’ long-term strategy to strengthen its position in the expanding Chinese market for LNG.
China’s growing demand for natural gas is driven by the need to support its energy transition, with natural gas playing a key role in balancing the intermittency of renewable energy sources and reducing emissions when used as an alternative to coal in power generation.
“We are pleased to strengthen our ties with CNOOC, a key partner for the Company in the world’s largest LNG importing country. This agreement allows us to continue securing long-term sales in Asia and reduce our exposure to spot market gas prices,” said Gregory Joffroy, Senior Vice President of LNG at TotalEnergies.