PKN Orlen signed a 20-year contract for the purchase of LNG with the American Sempra Energy

The Polish company Orlen concluded an LNG purchase and sale agreement with American Sempra Energy. The contract provides for the supply of 1 million tons of LNG per year (or 1.379 bcm of natural gas) from the American Port Arthur LNG plant (Phase 1) for a period of 20 years.

It should be noted that Phase 1 of the Port Arthur LNG project is currently awaiting a final investment decision, and deliveries will begin in 2027. Last year, Sempra also entered into agreements with ConocoPhillips, INEOS, ENGIE, and Germany's RWE to buy and sell LNG from Phase 1 of the Port Arthur LNG project. Thus, Phase 1 capacity is currently booked for 10.5 million tons of LNG per year (or 14.5 bcm).

European companies are looking for long-term contracts to buy LNG to replace Russian natural gas after the Russian invasion of Ukraine in February 2022.