Qatar Petroleum entered into a 10-year LNG Sale and Purchase Agreement (SPA) with China Petroleum & Chemical Corporation (Sinopec) for the supply of 2 million tons per annum (MTPA) of LNG to the People's Republic of China.

The SPA was signed by His Excellency Mr. Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of Qatar Petroleum, and Mr. Zhang Yuzhuo, the Chairman of Sinopec Group, during a virtual ceremony attended by senior officials from both sides.

Under the agreement, LNG deliveries will commence in January 2022, and will be delivered to Sinopec’s LNG terminals in China. This SPA further demonstrates the State of Qatar’s continued commitment to meeting the growing energy demand of its customers globally in the form of reliable long term LNG supplies.

Commenting on this occasion, His Excellency Mr. Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President and CEO of Qatar Petroleum, said, “In a step that will further solidify the excellent bilateral relations between the People’s Republic of China and the State of Qatar, we are delighted to enter into this historic long term LNG SPA. We are also proud of the fact that this agreement will be Sinopec’s first long term LNG SPA from Qatar, and we are hopeful that it will mark the start of a long and fruitful partnership with Sinopec. Our LNG relationship with China dates back to 2009, when we started supplying LNG through a host of LNG SPAs with a number of our valued Chinese partners. This SPA will further supplement Qatar’s contribution in meeting China's growing energy needs and we look forward to commencing deliveries under the agreement."

H.E. Minister Al-Kaabi concluded his remarks by saying, “This SPA also illustrates our position in the market as a reliable and trust-worthy LNG supplier, and we are grateful to all our customers around the world who select us as their LNG supplier of choice.”

Mr. Zhang Yuzhuo, Chairman of Sinopec Group, said, “Sinopec has been a strong advocate for cleaner and greener development. The signing of the long term LNG SPA with Qatar Petroleum is a further step by Sinopec to deliver its commitment to sustainability while meeting the growing needs of the Chinese market. We believe achieving carbon emission peak and carbon neutrality are responsibilities of the energy industry and call for transformation. We are proud to team up with Qatar Petroleum, one of the premier suppliers in the industry, to supply cleaner energy to China. We are also excited to begin a new journey of more comprehensive cooperation with Qatar Petroleum in the years to come.”

Khalid bin Khalifa Al Thani, CEO of Qatargas, commented on the new SPA: “This landmark agreement comes as a boost to the existing relationship with our Chinese customers. As the World’s Premier LNG Company, Qatargas is committed to meeting the clean energy needs of customers around the globe who depend on reliable LNG deliveries.”

Since the first LNG delivery in September 2009 to date, Qatar has supplied China with more than 62 million tons of LNG. China is a key and strategic energy partner for the State of Qatar throughout the entire energy value chain. It is also a main driver of the growth in the global LNG market as the government adopts increasingly progressive environmental policies.​

About Qatar Petroleum

Qatar Petroleum (QP) is a state-owned corporation established by Decree Law No. 10 in 1974. It is responsible for all phases of the oil and gas industry in the State of Qatar.
The principal activities of QP, its subsidiaries and joint ventures are the exploration, production, local and international sale of crude oil, natural gas and gas liquids, liquefied natural gas, refined products, synthetic fuels, petrochemicals, fuel additives, fertilizers, steel and aluminium.
The operations and activities of QP and its affiliates are conducted at various onshore locations, including Doha, Dukhan and the Mesaieed and Ras Laffan Industrial Cities, as well as offshore areas, including Halul Island, offshore production stations, drilling platforms and the North Field.

About Sinopec

China Petrochemical Corporation (Sinopec Group) is a super-large petroleum and petrochemical enterprise group, established by the state in July 1998 on the basis of reconstructing the former China Petrochemical Corporation. Beijingbased Sinopec Group has a registered capital of RMB 274.9 billion with the board chairman of Sinopec Group serving as its legal representative. Sinopec Group exercises the investor’s rights to the related state assets owned by its full subsidiaries, controlled companies and share-holding companies, including receiving returns on assets, making major decisions and appointing managers. The Group operates, manages and supervises state assets according to related laws, and shoulders the corresponding responsibility of maintaining and increasing the value of state assets.