MOSCOW | Wed Oct 10, 2012 8:42am EDT
(Reuters) - Gazprom said on Tuesday it has signed an agreement to sell liquefied natural gas (LNG) to Korea Gas Corporation (KOGAS), as it strengthens its position in Asian markets.
Gazprom Marketing & Trading Singapore, a wholly-owned subsidiary of Gazprom (GAZP.MM), said it will supply up to eight cargoes of LNG a year to KOGAS in 2013 and 2014, totaling up to 1 million metric tonnes (1.1 million tons) over the two years.
Gazprom already ships 1.6 million tonnes of LNG a year to KOGAS from its Sakhalin-2 project, which produces 10 million tonnes of LNG annually. Gazprom M&T would not necessarily sell Gazprom-produced gas but the contract could help it to secure a foothold in Asia, where it wants to sell gas from the giant fields of Eastern Siberia.
"This agreement also provides a good basis for further expansion of our commercial portfolio and realizing our ambition to be the leading LNG marketer in Asia Pacific," Frederic Barnaud, executive Director for LNG & Shipping at Gazprom M&T said in the company's statement.
Gazprom has been increasingly looking to diversify its markets away from Europe, its leading source of revenue but where gas demand is sagging. Earlier this month, Gazprom M&T signed a deal to sell LNG to India's GAIL for 20 years......
davidcalleo. IOC has no LNG infrastructure in place. LNG infrastructure and stripping facilities cost BILLION$. IOC doesn't have the money and they have no FIDS, just hot air and "imminent" deals that never materialize.