DOHA, Sept 20 – State-run Qatargas, the world’s largest producer of liquefied natural gas (LNG), has signed a medium-term sales and purchase agreement with Turkey’s Botas to deliver 1.5 million tonnes of LNG each year for three years, it said on Wednesday. Qatargas said it would supply the LNG from Qatargas 2 to either the Egegaz LNG Terminal, the Marmara LNG Terminal or the Etki LNG terminal in Turkey.
“We are very pleased to announce this new agreement with Botas, which will further strengthen our relationship with our friends in Turkey,” said Qatargas Chairman Saad Sherida al-Kaabi, who is also CEO of Qatar Petroleum. Qatargas has previously supplied Turkish state pipeline operator Botas with spot cargoes. The agreement comes as the worst rift in years among some of the most powerful states in the Arab world continues to simmer. Saudi Arabia, Egypt, the United Arab Emirates and Bahrain severed ties with Qatar in June, accusing it of supporting terrorism, a charge that Doha denies.
Qatargas has said its LNG supply to the world’s largest LNG importer, Japan, would not be affected by the economic, diplomatic and transport boycott. It has also since signed an agreement with Shell for the delivery of LNG up to 1.1 million tonnes a year for five years.