TotalEnergies expands LNG presence in Asia with two new contracts

TotalEnergies has announced today the signing of two significant new contracts that solidify its position in the growing Asian LNG market.

These medium- and long-term agreements aim to deliver LNG to key players in India and South Korea.

The first agreement is a ten-year sales and purchase agreement (SPA) with Indian Oil Corporation (IOCL) for the delivery of up to 800,000 tonnes per year of LNG to India, starting in 2026.

The second agreement, a Heads of Agreement (HoA) with Korea South-East Power, involves the delivery of up to around 500,000 tonnes per year of LNG to South Korea for five years, commencing in 2027.

“These contracts enable us to contribute to the energy security and transition of these countries, to which we have an enduring commitment,” Gregory Joffroy, Senior Vice President, LNG at TotalEnergies, said in a press statement.

Solidifying a leading position in LNG

TotalEnergies is a major player in the global LNG market, ranking as the world’s third-largest LNG supplier with a portfolio exceeding 44 million tonnes per year (Mt/y) in 2023.

This dominant position is bolstered by the company’s involvement in liquefaction plants across the globe and its integrated approach to the LNG value chain.

TotalEnergies boasts extensive experience in production, transportation, regasification (with access to over 20 Mt/y of regasification capacity in Europe), trading, and LNG bunkering.

The company’s commitment to natural gas extends beyond market leadership. It aims to increase the share of natural gas in its sales mix to nearly 50% by 2030. This strategy focuses on reducing carbon emissions, eliminating methane emissions associated with the gas value chain, and collaborating with local partners to facilitate the transition from coal to natural gas.