news 4 days ago

Commonwealth LNG and Gunvor Singapore Pte Ltd Sign Heads of Agreement

The Associated Press

GENEVA & HOUSTON--(BUSINESS WIRE)--Jun 12, 2019--

Commonwealth Projects, LLC and Gunvor Group Ltd today announced their respective subsidiaries, Commonwealth LNG, LLC and Gunvor Singapore Pte Ltd, have signed a heads of agreement (HOA). The HOA anticipates the negotiation and finalization of a definitive 15-year liquefied natural gas (LNG) sale-and-purchase agreement (SPA) for 1.5 million tonnes per annum (Mtpa) of LNG offtake from the Commonwealth LNG export project under development in Cameron Parish, Louisiana.

Kalpesh Patel, Gunvor Co-Head of LNG Trading said, "The agreement with Commonwealth LNG is a significant step in executing Gunvor’s overall strategy of uncovering and securing low cost resources and seamlessly delivering them to high value markets. We look forward to working with the Commonwealth team as they continue to progress their project.”

"We are proud to be entering into an agreement for a portion of our LNG offtake with the Gunvor Group – one of the world’s premier commodities trading houses,” said Paul Varello, Commonwealth’s President and CEO. “Our mantra is to develop LNG solutions for the next generation; in Gunvor, we have found a commercial partner who not only shares that vision, but through its creativity and innovation exemplifies it.”

Commonwealth LNG expects to take a final investment decision on the project later next year.

About Commonwealth LNG

Commonwealth LNG is an 8.4 mtpa liquefied natural gas (LNG) export terminal project on the U.S. Gulf Coast near Cameron, Louisiana. The Commonwealth LNG team is committed to developing and operating a world-class LNG facility by staying relentlessly focused on managing risk and lowering capital cost. This is achieved by employing a fully modular design and construction approach for its liquefaction trains and auxiliary equipment as well as its LNG storage tanks. This approach results in a platform that enables the competitive delivery of LNG to any market under more flexible contract terms. https://commonwealthlng.com/

About Gunvor Group Ltd

Gunvor Group is one of the world’s largest independent commodities trading houses by turnover, creating logistics solutions that safely and efficiently move physical energy from where it is sourced and stored to where it is demanded most. The company is the leading independent global trader of Liquefied National Gas (LNG). With strategic investments in industrial infrastructure—refineries, pipelines, storage, terminals, mining and upstream—Gunvor further generates sustainable value across the global supply chain for its customers. More information can be found at www.GunvorGroup.com

View source version on businesswire.com:https://www.businesswire.com/news/home/20190612005723/en/

CONTACT: Media Contact: Nick Eusepi,media@teamcpl.com

Financial Contact: Clay Watson,investorrelations@teamcpl.com

KEYWORD: UNITED STATES EUROPE NORTH AMERICA TEXAS SWITZERLAND

INDUSTRY KEYWORD: ENERGY OIL/GAS

SOURCE: Commonwealth LNG

Copyright Business Wire 2019.

PUB: 06/12/2019 12:03 PM/DISC: 06/12/2019 12:03 PM

http://www.businesswire.com/news/home/20190612005723/en