News Update
July 12, 2023
Announcement Related to Lake Charles LNG Signing Heads of Agreements for a Total of 3.6 MTPA
Energy Transfer LP announced today that it has entered into three non-binding Heads of Agreement (HOAs) related to long-term LNG offtake from its Lake Charles LNG project for an aggregate of 3.6 mtpa. One of the HOAs specifies that a Japanese consortium would purchase 1.6 mtpa for a 20-year term, subject to an option to convert the offtake arrangement to an equity participation providing for the same volume of LNG. Under one of the HOAs, Chesapeake Energy Marketing LLC would supply to Lake Charles LNG volumes of natural gas sufficient to produce 1.0 mtpa of LNG for a period of 15 years and, post liquefaction, Gunvor Singapore Pte Ltd would purchase LNG from Chesapeake at a price indexed to the Japan Korea Marker (JKM) for a period of 15 years. The other HOA is with a U.S. customer and relates to a tolling arrangement for 1.0 mtpa for a 15-year term. The HOAs are subject to the negotiation and execution of definitive agreements.
“We are pleased with the continued confidence of our customers in the Lake Charles LNG project,” said Tom Mason, President of Lake Charles LNG. “These HOAs are important for the successful development of the project, along with the continuation of certain pre-FID work with one of our EPC contractors.”
Forward Looking Statements
This statement may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. An extensive list of factors that can affect future results are discussed in Energy Transfer’s Annual Report on Form 10-K and other documents filed from time to time with the Securities and Exchange Commission. The Partnership undertakes no obligation to update or revise any forward-looking statement to reflect new information or events.
December 5, 2019
The proposed Lake Charles LNG project received approval from FERC
The proposed Lake Charles LNG project received approval from FERC on December 5, 2019 for a five-year extension to build an LNG export facility at Energy Transfer's existing import terminal and regasification facility in Lake Charles, LA, and place them into service. This important milestone is part of Energy Transfer's continued efforts to advance the Lake Charles LNG export project on the US Gulf Coast toward a final investment decision.
Lake Charles LNG Feature
LNG Journal highlighted our proposed Lake Charles LNG export facility in Lake Charles, Louisiana. Lake Charles LNG is a fully permitted project having received authorizations from the Federal Energy Regulatory Commission and the Department of Energy.
Press Releases
August 24, 2022
Energy Transfer to Supply Shell 2.1 Million Tonnes of LNG Per Annum From Its Lake Charles LNG Export Facility Under 20-Year Agreement
DALLAS -- Energy Transfer LP (NYSE: ET) today announced its subsidiary, Energy Transfer LNG Export, LLC, has entered into a 20-year LNG Sale and Purchase Agreement (SPA) with Shell NA LNG LLC related to its Lake Charles LNG project. Under the SPA, Energy Transfer LNG will supply Shell 2.1 million tonnes of LNG per annum (mtpa). The LNG will be supplied on a free-on-board (FOB) basis and the purchase price will be indexed to the Henry Hub benchmark, plus a fixed liquefaction charge. The first deliveries are expected to commence as early as 2026. The SPA will become fully effective upon the satisfaction of the conditions precedent, including Energy Transfer LNG taking a final investment decision (FID). Read the full press release here.
June 5, 2022
Energy Transfer Signs LNG Sale and Purchase Agreement With China Gas
DALLAS -- Energy Transfer LP (NYSE: ET) and China Gas Holdings Limited (HKEX:00384) today announced that China Gas Hongda Energy Trading Co., LTD, a subsidiary of China Gas Holdings Limited (China Gas) has entered into an LNG Sale and Purchase Agreement with Energy Transfer LNG Export, LLC (Energy Transfer LNG), a subsidiary of Dallas-based Energy Transfer LP, related to its Lake Charles LNG project. Under the SPA, Energy Transfer LNG will supply 0.7 million tonnes of LNG per annum to China Gas on a free-on-board (FOB) basis. Read the full press release here.
May 3, 2022
Energy Transfer Signs LNG Sale and Purchase Agreement With SK Gas Trading LLC
DALLAS -- Energy Transfer LP (NYSE: ET) today announced the execution of a long-term Sale and Purchase Agreement (SPA) with SK Gas Trading LLC (SK Gas) for the supply of 0.4 million tonnes per annum (mtpa) of LNG from Energy Transfer’s Lake Charles LNG export facility. The SPA is for a term of 18 years, and first deliveries are expected to commence as early as 2026. The SPA will become fully effective upon the satisfaction of the conditions precedent, including Energy Transfer LNG taking final investment decision (FID). Read the full press release here.
May 2, 2022
ENERGY TRANSFER SIGNS LNG SALE AND PURCHASE AGREEMENT WITH GUNVOR
DALLAS & SINGAPORE -- Energy Transfer LP (NYSE: ET) and Gunvor Group Ltd today announced that Gunvor Singapore Pte Ltd (Gunvor) has entered into an LNG Sale and Purchase Agreement with Energy Transfer LNG Export, LLC (Energy Transfer LNG), a subsidiary of Energy Transfer LP, related to its Lake Charles LNG project. Under the SPA, Energy Transfer LNG will supply 2 million tonnes of LNG per annum to Gunvor on a free-on-board (FOB) basis. The SPA is for a term of 20 years, and first deliveries are expected to commence as early as 2026. The SPAs will become fully effective upon the satisfaction of the conditions precedent, including Energy Transfer LNG taking final investment decision (FID). Read the full press release here.
March 29, 2022
ENERGY TRANSFER AND ENN SIGN 20-YEAR LNG SALE AND PURCHASE AGREEMENTS FOR LAKE CHARLES LNG
DALLAS & LANGFANG, China -- Energy Transfer LP (NYSE: ET), ENN Natural Gas (ENN NG 600803.SH) and ENN Energy Holdings Limited (ENN Energy 2688.HK) today announced that ENN NG and ENN Energy have entered into LNG Sale and Purchase Agreements with Energy Transfer LNG Export, LLC (ET LNG), a subsidiary of Energy Transfer LP, related to its Lake Charles LNG project. Under the two SPAs, ET LNG is expected to supply 1.8 million tonnes of LNG to ENN NG, and 0.9 million tonnes of LNG to ENN Energy, per annum on a free-on-board (FOB) basis. The purchase price is indexed to the Henry Hub benchmark plus a fixed liquefaction charge. Both SPAs are for a term of 20 years, and first deliveries are expected to commence as early as 2026. The SPAs will become fully effective upon the satisfaction of the conditions precedent by ET LNG, including reaching FID. Read the full press release here.
March 30, 2020