Capitalizing on their successful cooperation in oil and petroleum product supplies, Rosneft and Vitol have agreed heads of terms regarding cooperation in a new sphere – liquefied natural gas (LNG).
The Heads of Agreement for an LNG sale and purchase contract was signed by Rosneft President and Chairman of the Management Board Igor Sechin and Vitol’s Head of Trading for Russia and the CIS Jeffrey Martz during the St Petersburg International Economic Forum in the presence of Russian President Vladimir Putin.
Following the new agreement, Vitol will become a large strategic buyer of LNG from Rosneft’s planned facility in the Russian Far East.
The supplies of LNG, which are anticipated to commence in 2019, will enable Vitol to serve clients across Asia-Pacific region.
Igor Sechin, President and Chairman of the Management Board of Rosneft, said: "Through the agreement with Vitol, the largest independent physical trader of energy resources, Rosneft secures guaranteed sales of significant LNG volumes to be produced by the first train of the LNG-facility, thus enabling us to proceed to the practical phase of the project’s implementation."
Ian Taylor, President and CEO of the Vitol Group of companies, said: “We are privileged to have another significant opportunity of working with Rosneft, as it continues to build its position as a global leader in oil and gas. This landmark development will diversify and strengthen our supplies of LNG and enable us to expand the possibilities of serving our clients in Asia-Pacific region.”