Oman LNG and BP Singapore on Saturday signed a seven-year major sales and purchase agreement (SPA) for the supply of LNG to BP Singapore.
The announcement was made by Harib al-Kitani, Oman LNG’s chief executive Officer and Jonathan Shepard, chief operating officer of BP LNG, under the patronage of Dr Mohammed al-Rumhy, Minister of Oil and Gas, Chairman of Oman LNG, reported Emirates news agency Wam, citing Oman News Agency.
The signing took place in Muscat and was attended by high officials and senior executives from the Oil and Gas industry in Oman.
The agreement is buoyed by the existing robust partnership between Oman LNG and BP.
The SPA, a free-on-board (FOB) contract starting January 2018, will span over a period of seven years lifting 1.1 million tonnes per annum which is equivalent to approximately 18 LNG cargoes annually. It will be a significant boost to the global LNG market where Oman LNG currently contributes a significant amount.
“This new agreement will not only unlock additional reserves but will also sustain our LNG business and expand our LNG business. Oman will continue to be a global preferred destination for sourcing clean energy,” said Dr. al-Rumhy.
“The revenues from this transaction will benefit Oman’s national economy and boost our GDP, will also boost efforts towards In-Country Value and Corporate Social Responsibility, all of which are significant drivers to the socio-economic fabric of the Sultanate.”