Woodside inks long-term LNG supply deal with Pertamina

LNG tanker carrying a cargo from the North West Shelf project (Image courtesy of Woodside)

Australian LNG operator Woodside has signed a long-term agreement to supply liquefied natural gas to Indonesia’s Pertamina.

The LNG supplies to state-owned Pertamina will start in 2019.

Woodside Singapore, a unit of Woodside, has committed to supply initial ramp up quantities building to about 0.6 million mt per year from 2022 to 2034. The company has the option to increase the supply to approximately 1.1 million mt per annum from 2024 to 2038, according to a Woodside statement.

LNG to be supplied to Pertamina under the sale and purchase agreement will be sourced from Woodside’s global portfolio with the company saying it would result in Woodside becoming a significant supplier of the chilled fuel to Indonesia.

Woodside Chief Executive Peter Coleman welcomed the finalisation of the deal in a competitive LNG market.

“Our track record as a reliable supplier of LNG and the proximity of our key sources of LNG to Indonesia were key to achieving this deal. As more regional buyers enter the market, we are well placed to become the supplier of choice,” he said.


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