Energy and infrastructure conglomerate Sahara said in a statement this agreement marks a “significant step in strengthening long-term LNG supply chains aimed at serving the rapidly growing energy markets in Asia and Latin America.”
Sahara did not provide further details regarding the heads of agreement.
Sahara’s executive director, Wale Ajibade, executive director, said this deal expands the company’s LNG portfolio and “strengthens our foothold in the LNG industry.”
LNG Alliance previously said Amigo LNG is the only project in the region with both FTA and non-FTA permits from the US Department of Energy, valid until December 2027.
The project is being developed in close cooperation with the State of Sonora and is located adjacent to the Port of Guaymas in Sonora, Mexico.
LNG Alliance said the project will include one 4.2 mtpa train and with a potential to add a second train of 3.6 mtpa of LNG.
It will receive feed gas from the Permian shale basin in the US via existing pipeline networks.
Third deal
This is the third heads of a agreement for Amigo LNG since August this year.
Amiglo LNG signed a heads of agreement in August with Malaysia’s E&H Energy.
Under this deal, Amigo LNG will supply 3.6 mtpa of LNG to E&H for the Malaysian market over 20 years.
The LNG supplies are expected to start in the third quarter of 2027.
In addition, Amigo LNG recently signed a binding heads of agreement with Oman’s state-owned firm OQ Trading.
LNG Alliance did not provide further details regarding this agreement.
Established in 2013, LNG Alliance previously announced several projects around the globe.
The company said in 2020 that it had opened a new office in India’s Chennai as part of its plans to invest in the country’s growing LNG sector.
It also revealed plans to build a large LNG import terminal in the southern Indian state of Karnataka.
Besides Mexico, India, and Indonesia, the company previously said it was working on a development in Montenegro as well.
