Qatar, world’s largest liquefied natural gas (LNG) exporters, is expected to sign a long-term agreement to provide LNG to Indian buyers, Reuters reported.
Petronet LNG Ltd, India’s leading natural gas importer, and Qatar Energy are in the final stages of negotiations.
The new agreement will extend contracts scheduled to expire in 2028 to supply 8.5 million metric tons per year of LNG to Indian buyers.
The agreement will offer more cheaper prices and flexible terms than existing contracts.
It is set to be finalized by the end of this month or early February, promises lower pricing and destination-flexible cargoes until at least 2050.
This move aligns with Indian Prime Minister Narendra Modi target to increase natural gas’s share in the nation’s energy mix from 6.3 percent to 15 percent by 2030.
The extension of this deal will strengthen India’s energy market position and meet the nation’s increasing demand for natural gas.
