BP Enters 3rd LNG Contract with Woodfibre

BP Enters 3rd LNG Contract with Woodfibre
Image courtesy of bp

BP has entered its third long-term offtake contract with the Woodfibre Liquefied Natural Gas (LNG) facility in British Columbia, Canada. This strategic move further bolsters BP’s position in the LNG market and aligns with the company’s ambition to become an integrated energy company.

Under the new agreement, bp will offtake 0.45 million tons per year (mtpa) of LNG for a duration of 15 years on a free on board (FOB) basis. With this additional contract, all of the LNG production from the Woodfibre LNG export facility is now committed for sale to bp, with firm offtake totalling 1.95 mtpa and the remainder on a flexible offtake basis.

The company aims to build an LNG portfolio of 30 million tons by 2030. This latest contract from the Canadian west coast source expands BP’s flexible and high-quality LNG portfolio, strengthening its capacity to meet the growing global demand for natural gas.

In addition to securing LNG offtake rights from the project, BP will provide safe and reliable transportation of gas to the Woodfibre LNG export facility during the 15-year contact term.

“As the world seeks secure, affordable, and lower carbon energy, global demand for LNG is expected to continue to grow and this additional Canadian supply source will further enhance BP’s supply positions in the Pacific region. We look forward to continuing our close collaboration with Woodfibre LNG,” said Jonathan Shepard, VP global LNG trading and origination at BP.

 

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Doaa Ashraf 452 Posts

Doaa is a staff writer with a Bachelor's Degree in Mass Communication, majoring Journalism from Ahram Canadian University. She has 2-3 years of experience in copywriting, and content creation.

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