Qatargas Signs £2bn LNG Deal With Centrica for Uk

Qatargas, the largest LNG producer in the world, achieved a new milestone as it signed a heads of agreement to supply liquefied natural gas (LNG) to Centrica plc, the largest supplier of gas to customers in the UK. Qatargas will deliver 2.4 million tonnes per annum of LNG to the UK Isle of Grain Terminal for the next three years.

The UK is the world’s third largest consumer of gas and one of the fastest growing for gas imports. In 2010, Qatar supplied the UK with 15 per cent of its total gas demand, and by 2025, LNG will supply around 50 per cent of UK gas needs. The current deal is likely to supply around 3 per cent of the UK gas needs, and around 10 per cent of UK residential gas demand.

Commenting on this achievement, Khalid Bin Khalifa Al Thani, Chief Executive Officer, Qatargas, said: “This deal represents the establishment of a new relationship with Centrica, and further underlines Qatargas commitment to the UK as one of our key gas markets, especially as it comes after the State of Qatar’s recent celebration of achieving a combined LNG production capacity of 77 million tonnes per annum (mtpa). This is an important milestone for Qatargas and we are delighted to be able to deliver LNG to additional UK customers. We are thankful for the guidance and direction from His Excellency Dr. Mohammed Saleh Al Sada, Minister of Energy and Industry for the state of Qatar that made this accomplishment possible.”