DUBAI- Qatar Petroleum has secured storage and redelivery capacity at the UK's Grain liquefied natural gas (LNG) terminal for 25 years from mid-2025, Qatar Petroleum and Britain's National Grid said in separate statements on Tuesday.
The deal was signed between National Grid's Grain LNG and Qatar Petroleum's Qatar Terminal Limited (QTL) after the conclusion of an open season process launched by National Grid in Nov. 2019.
Qatar Petroleum said its affiliate will subscribe to the equivalent of up to 7.2 million tonnes per annum of the terminal's future throughput capacity.
"By entering into this agreement, we are reaffirming our commitment to the United Kingdom's gas market," said Saad Sherida Al-Kaabi, QP's chief executive and Qatar's energy minister.
QP is also a 67.5% shareholder in another UK LNG terminal, South Hook.
The Grain terminal, located on the Isle of Grain in Kent, is currently able to store and deliver enough gas to meet at least 25% of UK gas demand, National Grid said in its statement.
(Reporting by Ekaterina Kravtsova in London, Yousef Saba in Dubai; Editing by Jan Harvey, Kirsten Donovan) ((Yousef.Saba@thomsonreuters.com; +971562166204))
