Foran & Cheniere Ink LNG Purchase Agreement on CIIE
China’s Foran Energy and Cheniere Energy inked an LNG Purchase and Sales HOA on November 6, 2020 at Shanghai’s China International Import Expo. Foran Energy will purchase 26 cargoes of LNG from U.S. LNG exporter Cheniere Energy in the next five years, pricing based on NYME’s Henry Hub Index, and this mid-term agreement will be finalized before the end of 2020 as reported.
This is the first big event in the LNG sector between China and the U.S. since the trade war disrupted the LNG deliveries from 2019’s May, but China’s buyers had resumed U.S. cargo purchase from April 2020 since the two countries reached the first phase trade deal to ease the tension. By September 2020, China has imported 1.44 million tons of LNG from the U.S.
