KUWAIT — QatarEnergy has entered into a significant long-term agreement with Kuwait Petroleum Corporation (KPC) to supply liquefied natural gas (LNG) to Kuwait for the next 15 years.

The Sale and Purchase Agreement (SPA) was signed in Kuwait City, marking a major milestone in energy cooperation between the two Gulf nations.

Under the terms of the agreement, QatarEnergy will supply up to three million tonnes per annum (MTPA) of LNG to Kuwait, starting from January 2025.

The LNG will be delivered ex-ship to Kuwait’s Al-Zour LNG Terminal using QatarEnergy’s fleet of conventional, Q-Flex, and Q-Max LNG vessels.

His Excellency Saad Sherida Al-Kaabi, Qatar’s Minister of State for Energy Affairs and QatarEnergy’s President and CEO, signed the agreement alongside Shaikh Nawaf Saud Al-Nasir Al-Sabah, Deputy Chairman and CEO of KPC.

The signing ceremony was attended by senior executives from both companies, underscoring the importance of this partnership.

Minister Al-Kaabi expressed his satisfaction with the new agreement, stating: “I am pleased to be in Kuwait, a country that is dear to our hearts, and to build a new long-term partnership between KPC and QatarEnergy.”

He emphasised that this collaboration is crucial in supporting Kuwait’s sustainability goals, particularly in the electricity generation sector.

The agreement is seen as a testament to the strong bilateral relations between Qatar and Kuwait.

Minister Al-Kaabi noted that these ties continue to grow under the leadership of His Highness Sheikh Tamim bin Hamad Al Thani of Qatar and His Highness Sheikh Meshal Al-Ahmad Al-Jaber Al-Sabah of Kuwait.

This SPA represents the second long-term LNG agreement between QatarEnergy and KPC, further strengthening the energy trade relationship between the two countries.

It is expected to play a pivotal role in enhancing bilateral trade and ensuring Kuwait’s energy security for years to come.

The deal comes at a time when Kuwait is working to boost its domestic gas production as part of its 2040 growth strategy.

As a major oil producer and OPEC member, Kuwait is increasingly relying on imported gas to meet its growing energy needs, especially during peak summer months.

This agreement not only solidifies Qatar’s position as a leading global LNG supplier but also demonstrates its commitment to supporting the energy transition and sustainability goals of its regional partners.