MET announced on Wendesday that it has signed the HoA with Keppel’s infrastructure division, together with a licensed LNG importer, for the long-term LNG cargo deliveries of 0.5 mtpa.
The LNG supply is conditional upon the signing of an LNG sales and purchase agreement and fulfilment of conditions precedent including regulatory approval, the company said.
This deepens the partnership between MET and Keppel, who has 10 percent shareholding in MET.
“To be supplied from MET’s solid European import portfolio of LNG, this partnership will enhance the security of supply in Singapore,” the company said.
In 2023, MET set up an office in Singapore as part of its plans to expand its LNG business beyond Europe.
Singapore’s first LNG terminal on Jurong Island, operated by Singapore LNG, began commercial operations in May 2013.
It currently operates with two jetties, three storage tanks of 180,000 cbm each, a fourth storage tank of 260,000 cbm, and a peak sendout capacity of around 11 mtpa.
In addition, Singapore LNG signed a deal with Japan’s MOL last year to charter one FSRU for Singapore’s second LNG terminal.
MET boosting LNG business
MET has been active in spot and mid-term deliveries in the Pacific basin, with this HoA being the first long-term contract for MET in the Pacific.
The deal secures the coverage of the expected increase in Keppel’s gas demand over the next years, whilst fitting with MET’s strategy of expanding its global LNG footprint.
MET said the agreement further strengthens the partnership and synergies between Keppel and MET, aiming to expand and capture gas value chain opportunities in Singapore – and exploring opportunities beyond Singapore, benefiting from the rise of energy and power demand in Asia.
In recent years, MET has built what it says one of the most geographically diverse LNG import structures in Europe, with long-term regasification capacity bookings in Germany, Croatia, and Spain.
The company has imported LNG cargoes to several countries across the Mediterranean (Greece, Italy, Croatia, Spain), Northwest Europe (UK, Belgium, the Netherlands, Germany), and the Nordic region (Finland).
In 2024, MET entered into a 10-year LNG agreement with LNG giant Shell to purchase US LNG with the intent to continue growing its long-term LNG portfolio.
Also, MET ordered its first LNG carrier, for delivery in 2027, after reaching a partnership agreement with Danish shipowner Celsius.
