Sinopec has signed a long-term purchase and sales agreement with Qatar Petroleum to purchase 2 million tpa of LNG for the next ten years.
The deal was signed in a video conferencing ceremony on 22 March 2021. It is Sinopec’s first long-term LNG supply contract with Qatar Petroleum. China and Qatar began cooperating in the energy sector in 2009. Qatar has supplied 62 million tonnes of LNG to China since then. The Chinese government has introduced environmental protection measures to increase the use of LNG in the energy transition, so LNG demand in the country will continue to rise.
Sinopec chairman Zhang Yuzhuo says: ‘We look forward to further cooperation with Qatar Petroleum in the future. Sinopec has always advocated for the development of green and clean energy and the long-term LNG supply agreement will not only meet the needs of the Chinese market but will also demonstrate Sinopec’s commitment to a low-carbon, green, safe, responsible and sustainable development path. We firmly believe that it’s the responsibility of the entire industry and every company to reach peak carbon emissions and achieve carbon neutral, which is needed for the industry’s transformation and development.’
Saad Sherida Al-Kaabi, Qatar’s energy affairs minister and the president and CEO of Qatar Petroleum, says that the new deal has consolidated the relationship between China and Qatar as well as establishing a relationship between the two countries.