Sempra Renegotiates Indonesian LNG Supply Contract to Allow More Cargo Diversions

Platts LNG Daily [subscription required] reports that Sempra Energy and the partnership behind the Tangguh LNG liquefaction project in Indonesia are renegotiating the terms of their LNG supply contract. Under the revised terms of the contract, the Tangguh partners will be permitted to divert up to 80% of Sempra’s contracted LNG supplies to other customers, rather than the 50% gas volume diversions permitted under the original contract. A representative of Sempra said that the revised contract would allow the LNG to go to higher-paying markets instead of Mexico and southern California via the Costa Azul LNG terminal.

Separately, Platts LNG Daily also reports that Indonesia’s Nusantara Regas is considering imports of U.S. LNG of up to 2 million mt/yr. The article suggests that the company is engaged in discussions with a U.S. LNG supplier.

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