Gazprom agrees to buy 3 mln tonnes LNG from Yamal LNG
ST.PETERSBURG. May 23 (Interfax) - Gazprom Marketing & Trading Singapore has reached an agreement to buy liquefied gas from OJSC Yamal LNG.
Gazprom CEO Alexei Miller and Leonid Mikhelson, head of Novatek , which owns 60% of Yamal LNG, signed the agreement on Friday.
The agreement envisages LNG purchases over a period of 20 years.
Interfax sources say the agreement is for approximately 3 million tonnes of liquefied gas per year, Gazprom said in a statement.
"LNG will be shipped under free-on-board conditions at the transfer point in Western Europe for further delivery to markets of the Asia-Pacific region, primarily to India. The price will be determined by a formula with oil indexation," Gazprom said.
"This agreement seriously strengthens Gazprom's long-term LNG portfolio. This is another opportunity to increase global trade volumes and use [Gazprom's] own fleet of gas carriers," Gazprom CEO Alexei Miller is quoted in the press release as saying.