Commonwealth LNG Confirms 20-Year Sale and Purchase Agreement with PETRONAS
HOUSTON, June 17, 2025 /PRNewswire/ -- Commonwealth LNG ('Commonwealth') today identified PETRONAS LNG Ltd. ('PETRONAS'), a subsidiary of Malaysia's national oil and gas company, as the major Asian energy company referenced in the company's May 5 announcement of a buyer to purchase 1 million tonnes per annum (MTPA) of LNG for 20 years from Commonwealth's 9.5 MTPA facility under development in Cameron, Louisiana.
Commonwealth LNG currently has 4 MTPA of offtake under long-term agreement, with line of sight toward finalizing its commercial book ahead of a targeted final investment decision in Q3 2025 and anticipated first LNG production in 2029.
'We are excited to collaborate with PETRONAS, a trusted LNG supplier with decades of expertise,' said Commonwealth President and CEO Farhad Ahrabi. 'We value this partnership and the endorsement of our team by this recognized industry leader.'
Meanwhile, Shamsairi M Ibrahim, Vice President of LNG Marketing and Trading at PETRONAS, shared, 'This agreement underscores PETRONAS' commitment to fostering global partnerships that ensure reliable, sustainable and long-term LNG supply for our customers. Collaborating with Commonwealth LNG will expand our supply node and strengthen our presence in the global LNG market.'
Commonwealth's phase 1 development is expected to bring an investment of more than $11 billion to Louisiana and generate an estimated $3.5 billion in annual export revenue. The project is expected to employ approximately 2,000 workers at the peak of construction and provide approximately 275 high-paying jobs when the facility begins operations in late 2029.
Commonwealth is owned by Kimmeridge SoTex Holdco LLC ('SoTex'), which was founded by Kimmeridge, an asset manager focused on the energy sector. Through SoTex, which also holds an upstream natural gas development company called Kimmeridge Texas Gas, Kimmeridge is building America's first integrated gas independent to deliver low-cost natural gas from wellhead-to-water and meet burgeoning demand for responsibly produced LNG across global markets.
The SPA will become fully effective upon the satisfaction of customary conditions, including an affirmative final investment decision on the Project.
About Commonwealth LNG
Commonwealth LNG is a 9.5 MTPA liquefied natural gas (LNG) export terminal project located on the Calcasieu River on the Gulf Coast near Cameron, Louisiana. The project's leadership team is committed to building a world-class LNG facility by staying relentlessly focused on managing risk and lowering cost.
Website: www.CommonwealthLNG.com
LinkedIn: www.linkedin.com/company/commonwealth-lng/
About PETRONAS
PETRONAS is a global energy group with operations in over 100 countries. Through its integrated LNG value chain and strong sustainability focus, PETRONAS delivers reliable energy solutions to meet rising global demand.
About Kimmeridge
Founded in 2012 by Ben Dell, Dr. Neil McMahon and Henry Makansi, Kimmeridge is an alternative asset manager focused on the energy sector. The firm is differentiated by its direct investment approach, deep technical knowledge, active portfolio management, proprietary research and data gathering.
Media Inquiries:
Commonwealth LNG
Lyle Hanna
VP, Corporate Communications
281-794-9606
[email protected]
Kimmeridge
Daniel Yunger / Hallie Wolff / Emma Cloyd
[email protected]
917.574.8582 / 917.842.1127
View original content to download multimedia: https://www.prnewswire.com/news-releases/commonwealth-lng-confirms-20-year-sale-and-purchase-agreement-with-petronas-302483300.html
SOURCE Commonwealth LNG
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNBC
2 hours ago
- CNBC
Asia-Pacific markets poised for cautious open as investors assess gains on Wall Street and Trump's tariff plans
Shanghai Bund skyline panorama Yangna | E+ | Getty Images Asia-Pacific markets are set to have a cautious open Tuesday, with investors assessing the record gains on Wall Street and the global impact of U.S. President Donald Trump's tariff policies as his 90-day tariff reprieve is set to expire next week. U.S. Treasury Secretary Scott Bessent said on Monday that there are "countries that are negotiating in good faith." However, he added that tariffs could still "spring back" to the levels announced on April 2 "if we can't get across the line because they are being recalcitrant." Japan's benchmark Nikkei 225 was set to open lower, with the futures contract in Chicago at 40,330 while its counterpart in Osaka last traded at 40,250, against the index's Monday close of 40,487.39 Australia's S&P/ASX 200 is set to open marginally lower with futures tied to the benchmark at 8,531 compared to its last close of 8,542.30. Hong Kong markets are closed for a public holiday. U.S. stock futures ticked down in early Asian hours after two of the three key benchmarks on Wall Street notched another record close in Monday's session. Overnight stateside, the broad-based S&P 500 index gained 0.52% and ended at 6,204.95 while the Nasdaq Composite advanced 0.47% and also reached fresh all-time highs, at 20,369.73. The Dow Jones Industrial Average climbed 275.50 points, or 0.63%, settling at 44,094.77. Monday's rise comes as Canada rescinded its digital service tax in an effort to facilitate trade negotiations with the U.S. That's after President Donald Trump said last Friday that the U.S. was "terminating ALL discussions on Trade with Canada." Initial payments on the tax were set to begin Monday and would have applied to companies such as Google, Meta and Amazon. — CNBC's Sean Conlon and Pia Singh contributed to this report.
Skift
9 hours ago
- Skift
Six Senses CEO Steps Down After 13-Year Tenure
Neil Jacobs fundamentally redefined ultra-luxury resorts by positioning Six Senses with themes of wellness and environmental stewardship. This created a new market category that many rival brands have been emulating. Neil Jacobs, CEO of ultra-luxury resort brand Six Senses, said he's stepping down after 13 years of leading the brand through a major expansion and its pre-pandemic acquisition by IHG (InterContinental Hotels Group). 'I am stepping away from leadership of the company and setting out on a new adventure," Jacobs wrote in a LinkedIn post on Monday. Under Jacobs' leadership, Six Senses evolved from 8 Asian beachfront resorts into a globally recognized brand with 26 open properties in places like Bhutan, Fiji, and the Seychelles, and more than 30 in the works. The brand, whose rooms typically cost over $1,000 a night, has become known for its emphasis on sustainability and wellness, including sleep specialists and longevity treatments.
Hamilton Spectator
9 hours ago
- Hamilton Spectator
Liquefied natural gas being loaded on Asia-bound tanker docked in Kitimat, B.C.
A tanker that is set to carry Canada's first cargoes of liquefied natural gas across the Pacific to Asian markets has docked at LNG Canada's berth in Kitimat, B.C. The GasLog Glasgow is being loaded with LNG produced in B.C., a spokesperson for the project said Monday. British Columbia Coast Pilots said two of their members boarded the tanker near Triple Island on the remote northern B.C. coast and navigated the vessel on a 15-hour, nearly 300-kilometre journey to Kitimat. 'The arrival of the GasLog Glasgow at the LNG Canada terminal in Kitimat is a historic moment, and the BC Coast Pilots are proud to have supported this milestone,' said Capt. Steve Kennedy in a written statement. The pilots rotated shifts to ensure the one on duty was alert throughout the voyage. They were escorted by a tug purpose-built by HaiSea Marine, a company majority-owned by the Haisla Nation. 'This successful operation reflects more than 10 years of preparation and collaboration with government, industry, and coastal First Nations to ensure vessel operations are safe and to help minimize impacts on the environment and coastal communities along the route,' Kennedy said. LNG Canada is a joint venture between Shell and Malaysia's Petronas, PetroChina, Japan's Mitsubishi Corp. and South Korea's KOGAS. Its first phase is expected to produce 14 million tonnes of gas a year and a second phase under consideration would double output. It's been billed by the federal government as the biggest private-sector investment in Canadian history — $40 billion between the port operation, the northeast B.C. gas fields supplying it and the pipeline in between. Liquefied natural gas, or LNG, is gas that has been chilled at temperatures of -162 C into a liquid state, enabling it to be transported overseas in specialized tankers. Gas produced in Western Canada could sell for a much higher price in Asia than if it were to remain landlocked, and advocates say securing new buyers would reduce Canada's reliance on the United States. Until now, Canada's only export market for its gas has been the United States, via pipeline. The trade relationship between the two countries has been rattled by U.S. President Donald Trump's evolving tariffs and musings about annexing Canada. Other LNG projects under construction include Cedar LNG, a joint-venture between Pembina Pipeline and the Haisla Nation and the Woodfibre LNG project near Squamish. A final investment decision has yet to be made on the Ksi Lisims facility near the border with Alaska, a partnership between Nisga'a Nation, Rockies LNG and Western LNG. LNG has been touted as a 'bridge' or 'transition' fuel to supplant coal as a power source in emerging economies. But Nichole Dusyk, senior policy adviser with the International Institute of Sustainable Development, said continued investment in fossil fuels puts Canada's economy, taxpayers and climate commitments at risk. 'As the shift to low-cost renewables accelerates, any further investment in LNG means doubling down on a volatile industry that is already showing signs of oversupply and shrinking market opportunities, including in Asia.' This report by The Canadian Press was first published June 30, 2025.
