BP and Chinese independent ENN have agreed on a two-year regasified LNG supply deal. Under the contract, BP will supply ENN with 300,000 ton/year of regasified LNG from the 6.7 million tons/year CNOOC-operated Dapeng LNG import terminal in Guangdong province starting from January 1, 2021. BP holds regasification capacity at Dapeng through a 30% stake in the terminal. The British oil giant will deliver gas to ENN by pipeline.
The contract marks the first time a foreign company would regasify LNG through a Chinese plant and delivers the gas to a domestic customer directly by pipeline. It will also allow ENN to develop its gas business further and boost supply to the Guangdong province. It has been a customer of Dapeng for more than a decade.
ENN has also contracted LNG term supply with Total, Chevron, and Australia’s Origin and Woodside, totalling 2.65 million tons/year. The company operates the 3 million tons/year Zhoushan receiving terminal in Zhejiang province, and the recent completion of its natural gas pipeline connecting the terminal to the Zhejiang provincial gas grid is expected to boost the terminal’s utilisation.
