Exxon Mobil Corp has signed a framework agreement to supply liquefied natural gas to Zhejiang Provincial Energy Group, a senior executive said on Thursday, marking Zhejiang Energy’s first long-term supply deal. The company said in a statement the deal is for 20 years.
Exxon Mobil is stepping up its efforts to meet soaring LNG demand, coupling multi-billion dollar production projects around the world with its first mainland storage and distribution outlet.
LNG supplies to China would come from a combination of Exxon Mobil’s global portfolios – not necessarily from the United States – as the company boosts output from Papua New Guinea and Mozambique, Clarke said later on the sidelines of the meeting.
State-owned Zhejiang Energy is a coal producer and utilities operator, and formed a joint venture earlier this year with commodities trader Glencore to trade energy products including LNG.
- Reuters
