TotalEnergies has signed two term contracts to supply LNG to Asian buyers, including Indian refiner IOC and South Korean utility Korea South-East Power.
The firm has signed an agreement with state-controlled IOC to deliver up to 800,000 t/yr of LNG to India for 10 years from 2026, it said on 4 June. TotalEnergies has also signed an agreement with state-controlled Korea South-East Power to deliver up to around 500,000 t/yr of LNG to South Korea for five years from 2027.
The deals come as TotalEnergies tries to grow its LNG presence in Asia by signing more medium and long-term oil-indexed contracts with Asian buyers.
Asian buyers have become "a little shy" since price spikes in global LNG markets in 2022 and see oil-indexed supply as offering more stability, TotalEnergies' chief executive Patrick Pouyanne said in April. Pouyanne said then that TotalEnergies plans to sign more deals with buyers in China, Japan and South Korea.
TotalEnergies' existing LNG deals in Asia include a 16-year supply contract indexed to oil prices with Singapore energy firm Sembcorp for up to 800,000 t/yr, starting from 2027.
It also has a deal with Indian steel manufacturer ArcelorMittal Nippon Steel to supply 500,000 t/yr for five years until 2026.
