TotalEnergies has extended its partnership with Oman LNG, an Omani LNG joint venture in which the company holds a 5.54% stake.
Through an amended agreement, TotalEnergies is extending beyond 2024 its interest in Oman LNG, by 10 years, and in Qalhat LNG, by 5 years.
Located on the northeast coast of Oman, the Oman LNG liquefaction complex comprises two liquefaction trains, each with a capacity of 3.8 million metric tons/year (tpy) of LNG. It is adjacent to the Qalhat LNG project, comprising one 3.8 million tpy train, and in which Oman LNG holds a stake. This brings the site's total production to 11.4 million tpy.
The parties agreed to finance investments to reduce the plant’s GHG emissions during the extension.
In January 2023, TotalEnergies had also signed an agreement with Oman LNG to offtake 0.8 million tpy of LNG for 10 years from 2025, making the operator a main offtaker of Oman LNG's production.
Extending the partnership contributes LNG supply to Europe and Asian markets, and is line with the operator’s ambition to increase its LNG production and long-term purchases by 50% by 2030, said Julien Pouget, senior vice-president Middle East & North Africa, exploration and production, TotalEnergies.
Oman LNG is majority-owned by the Government of the Sultanate of Oman (51%). Other shareholders are Shell (30%), TotalEnergies (5.54%), Korea LNG (5%), PTTEP (2%), Mitsubishi (2.77%), Mitsui (2.77%), and Itochu (0.9%).
Qalhat LNG is also majority-owned by the Government of Oman (46.84%), Oman LNG (36.8%), Naturgy (7.36%), Itochu (3%), Mitsubishi (3%), and Osaka Gas (3%). TotalEnergies holds an indirect interest in Qalhat LNG (2.04%) through its stake in Oman LNG.