Australian energy company Santos has announced that it has agreed key commercial terms with South Korean steelmaker POSCO Steel Co., Ltd. for the long-term supply of liquefied natural gas (LNG).
Under the proposed agreement, Santos would supply LNG to POSCO for a period of 10 years on a delivered ex ship (DES) basis, with deliveries scheduled to begin in 2030 or 2031.
LNG to be sourced from Santos' global portfolio
The LNG will be sourced from Santos' diversified global LNG portfolio as part of the company's strategy to optimize its portfolio through long-term supply contracts.
The transaction remains subject to the negotiation and execution of a definitive LNG Sale and Purchase Agreement, as well as the necessary corporate approvals.
