According to a statement by SEFE, the HoA is for the long-term supply of 1.5 million tonnes of LNG per year for at least 15 years.
SEFE said the LNG supplies will be sourced from floating LNG (FLNG) vessels that Delfin is deploying approximately 40 miles offshore near Cameron, Louisiana, on the US Gulf Coast.
The brownfield deepwater port that Delfin is developing requires minimal additional infrastructure investment to support up to three FLNG vessels producing up to 13 million tonnes of LNG annually.
“The free-on-board (FOB) deliveries will commence immediately following the construction and commissioning of the FLNGs, helping SEFE to ensure the security of LNG supplies for its customers,” it said.
This is SEFE’s second partnership with a US LNG supplier.
In 2023, Venture Global LNG signed a deal with SEFE’s unit Wingas.
SEFE CCO Frederic Barnaud said this long-term agreement with Delfin enables the company to further diversify its LNG portfolio with greater destination flexibility.
“This in turn ensures the security of supply of SEFE’s customers in Europe and around the world,” he said.
Delfin’s FLNG plans
Besides this deal with SEFE, Delfin signed an agreement last year with US shale gas producer Chesapeake Energy to supply LNG to Geneva-based trader Gunvor.
Under the SPA, Chesapeake will buy about 0.5 million tonnes per annum (mtpa) of LNG from Delfin at a Henry Hub price with a targeted start date in 2028.
These volumes will represent 0.5 mtpa of the previously announced up to 2 mtpa heads of agreement with Gunvor, Delfin said.
Also, these volumes will add to the SPA Gunvor signed with Delfin in November 2023.
Delfin has not yet made a final investment decision on its first FLNG.
The company just received a license from the US Maritime Administration (MARAD).
MARAD said on Friday it had authorized Delfin LNG, a unit of Delfin Midstream, to own, construct, operate, and eventually decommission a deepwater port, to export LNG from the US.
This MARAD approval came less than two weeks after Delfin Midstream secured a permit extension from the US Department of Energy, granting additional time to start exports from the FLNG project.
This order extended the start date for Delfin’s export authorization for exports of up to 1.8 billion cubic feet per day (Bcf/d) of natural gas as LNG to non-free trade agreement countries to June 1, 2029, according to DOE.
In March 2024, Delfin sought a five-year extension for its LNG export authorizations from DOE. The firm said at the time it was also in talks with South Korea’s Samsung Heavy to reserve a shipbuilding slot for the first FLNG unit.
Delfin plans to install up to four self-propelled FLNG vessels that could produce up to 13.3 mtpa of LNG or 1.7 billion cubic feet per day of natural gas as part of its Delfin LNG project.
In addition to this project, it also aims to install two FLNG units under the Avocet LNG project.
