QatarEnergy has agreed to purchase up to 3 million tonnes/year (tpy) of LNG from Woodside Energy's Louisiana LNG project under a 20-year contract, further expanding its US LNG portfolio as the export project advances toward first production.

The agreement follows QatarEnergy's recently signed LNG purchase deals with Cheniere and supports the company's strategy of growing and diversifying its global LNG supply portfolio. 

His Excellency Saad Sherida Al-Kaabi, Minister of State for Energy Affairs and president and chief executive officer of QatarEnergy, said the additional volumes make QatarEnergy "the largest buyer of LNG from the US" and strengthen the company's ability to meet growing global LNG demand.

Under the terms of the agreement, deliveries will be on an FOB basis and are expected to begin in 2030. 

Woodside chief executive officer Meg O'Neill said the agreement, coupled with Woodside's 2025 LNG supply agreement with Germany's Uniper, help establish the project's long-term customer base and provide revenue certainty for a portion of Louisiana LNG's planned production.

Louisiana LNG project update

Louisiana LNG is under construction near Lake Charles, La., in Calcasieu Parish. The foundation project includes three trains with a combined capacity of 16.5 million tpy and is targeting first LNG in 2029.

In its third-quarter report released Oct. 21, Woodside said the project is 32% complete and remains on budget. Train 1 is 41% complete with structural steel and above-ground piping installation progressed. Trains 2 and 3 were 27% and 22% complete respectively at the end of the quarter, with above-ground piping installation started for Train 2 and first concrete foundation poured for Train 3.

Woodside said ongoing disruptions in the Middle East continue to affect structural steel supply, but the company is mitigating the impact through alternative logistics routes and fabrication sources.