CNOOC Import Window Service Review - Senton Nails 5-Year Renewal
China’s leading LNG logistics company Senton Energy renewed a 5-year agreement on LNG import window service with CNOOC Gas & Power Group’s trading arm at SHPGX on November 12, 2020. CNOOC will provide 20 LNG import slots for one cargo each quarter from January 2021 by half from spots purchased by Senton or CNOOC, and half from CNOOC’s long-term portfolio. The truck loading of the cargoes will be in terminals CNOOC owns or CNOOC’s co-op sites with PipeChina, meaning that Senton is free to load from over 10 terminals along the coastal line and supply its downstream customers nationwide.
Senton Energy is a main player of China’s LNG logistics and downstream distributing sector, with over 350 LNG tank trucks and over 170 other trucks, to provide LNG transportation, LNG filling station and LNG direct supply service on a nationwide scale. In 2018, Senton and Zhenhua Oil won the bid for CNOOC’s first import window service, and Senton was also the first to import scaled ISO LNG in China in the same year.
In order to fully utilize the spare slots of LNG receiving terminals, CNOOC set a pilot demonstration of import window service back in 2018. CNOOC designed to open-up LNG terminals in its control to third parties, while the cargo sourcing was designed as an alternate mechanism that the buyer shall take half of the supply from CNOOC’s long-term portfolio and half from buyer’s own sourcing or CNOOC’s agent sourcing.
