By Eric Yep
SINGAPORE--Singapore's Pavilion Energy Ltd. has signed an
agreement with BP PLC (BP) to buy 0.4 million tons of natural gas a
year, which will include supplies from the Freeport liquefied
natural gas project in the U.S.
Pavilion Energy's gas trading unit Pavilion Gas Pte. Ltd. will
buy the gas for a 20-year period starting from 2019, Chief
Executive Seah Moon Ming told a conference Wednesday.
Earlier this year, Pavilion signed a 10-year deal to buy 0.7
million tons of LNG a year from Total S.A. (FP.FR) starting in
2018.
The Freeport LNG export terminal is co-owned by ConocoPhillips
(COP) and is one of three projects that are expected to be the
first exporters of U.S. natural gas. The other projects are
Sempra's Cameron LNG project in Louisiana and Cheniere Energy
Inc.'s Sabine Pass LNG project.
BP may also supply Pavilion with LNG from its other gas
producing assets, Paul Reed, chief executive of BP Integrated
Supply and Trading said.
Pavilion, a portfolio company of state-investment firm Temasek
Holdings Pte. Ltd., has been rapidly expanding its presence in the
LNG business with a capital of $6.9 billion.
Write to Eric Yep at eric.yep@wsj.com
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