An affiliate of Qatar Petroleum and the French LNG terminal operator Elengy, a subsidiary of ENGIE Group, entered into a long-term agreement for LNG receiving, storage and regasification services at the Montoir-de-Bretagne LNG Terminal in France.
Under the agreement, Qatar Terminal Limited (QTL) – a subsidiary of Qatar Petroleum – will subscribe to the equivalent of almost 3 million tons per annum of the terminal’s throughput capacity for a term up to 2035. Montoir-de-Bretagne LNG will thereby become a new LNG import terminal position for Qatar Petroleum in Europe, facilitating the supply of Qatari and internationally sourced LNG to French and European customers. The agreement is a result of a formal “Open Subscription Period” process that was conducted and concluded during the second half of 2019 pursuant to the rules of the French Energy Regulatory Commission (CRE).
The agreement was signed at a ceremony held in Paris, by His Excellency Mr. Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of Qatar Petroleum, and Mrs. Sandra Roche-Vu Quang, the CEO of Elengy, in the presence of His Excellency Jean-Baptiste Lemoyne, France’s Minister of State attached to the Minister for Europe and Foreign Affairs.
Speaking at the signing ceremony, His Excellency Mr. Saad Sherida Al-Kaabi said, “By signing this agreement, we are providing France, and Europe as a whole, reliable energy supplies, as well as increased utilization of gas as a cleaner and more environmentally friendly source of energy. We are also taking another step into the future by establishing a long-term partnership with Elengy well into the next decade. And, we look forward to further strengthen this relationship in the future.”
In his remarks, Minister Al-Kaabi highlighted the strong Qatari-French partnerships in general and especially in the energy sector, as well as Qatar Petroleum’s commitment to Europe’s energy security.
His Excellency said, “Qatar Petroleum has long invested in and anchored LNG receiving terminal capacity in Europe. We have also played a key role in supporting the development of vital energy network infrastructure in Europe. As the largest LNG producer, we are committed to supporting the advancement of EU energy policy and to strengthening the security, reliability and flexibility of gas supplies into Europe.”
On her part, Elengy’s CEO Sandra Roche-Vu Quang said, “Today is a key milestone for Elengy. As pioneers in the LNG industry, we are extremely proud of this agreement with our Qatari partners, a major step which hopefully will result in an even closer cooperation in the coming years. This contract secures long-term activity at the Montoir-de-Bretagne terminal. Our LNG hub for North West Europe offers customers optimum flexibility and an evolving range of services, from historical LNG regasification to small scale LNG, to meet the energy transition needs.”
Located on France’s Atlantic coast, the Montoir-de-Bretagne LNG Terminal was commissioned in 1980 and is fully regulated by the CRE. The terminal currently has 360,000 cubic meters of LNG storage capacity spread across 3 tanks and an annual throughput capacity of 10 billion cubic meters of natural gas. The terminal is operated by Elengy, which has over 50 years of LNG experience and operates two other terminals in France: Fos Tonkin and Fos Cavaou on the Mediterranean coast.
The ceremony was attended by senior executives from Qatar Petroleum and Elengy.