Angola has signed a deal with Vitol, in which the countrys sole liquefied natural gas (LNG) export facility will deliver cargoes to the energy and commodity trading company
After restarting production in June 2016, Angola LNG has guaranteed Vitol to supply cargoes around the globe, as stated by Reuters.
In a statement to the source, an Angolan spokesperson said, “Deliveries will start later this year, but the terms of this agreement are commercially confidential.”
“Vitol has already purchased many LNG cargoes from Angola LNG, and we look forward to continuing our successful relationship,” Artur Pereira, CEO of Angola LNG Marketing Ltd said to the source.
According to the source, the output from Angola LNG stabilised in 2017, with production hitting up to 3.5mn tonnes in 2017, as compared with 0.77mn tonnes in 2016.
Vitol is already one of the biggest buyers of Angolan cargoes on the spot market. The company could use its new-found Angolan volumes to help cover a 10-year obligation to supply South Korea's Korea Midland Power Co with 400,000 tonnes of LNG annually, said the source.
In April 2017, Vitol signed a multi-year LNG purchase deal with Gazprom Marketing & Trading Singapore, to take 300,000 tonnes a year from the Russian subsidiary’s diversified portfolio.
The deal with Angola LNG has been described as an exciting initiative for Vitol. With the agreement, the company aims to spread its presence in the African continent in the near future.
