US LNG producer Venture Global's two operating export terminals and construction of a third is allowing it to sell more five-year contracts with customers, chief executive Mike Sabel told reporters on the sidelines of the CERAWeek by S&P Global conference today.
Venture Global (VG) has signed two five-year agreements this month with supplies coming from its overall portfolio rather than assigned to a specific terminal. The company began exporting LNG at its 12.4mn t/yr Calcasieu Pass terminal in Louisiana in 2022 and rapidly brought its 27.2mn t/yr Plaquemines terminal on line throughout 2025. Its third project, the 28mn t/yr CP2, is expected to begin production in late 2027. VG recently moved forward on CP2's second phase.
Medium-term deals lasting around five years are possible given the excess production and commissioning cargoes from VG's facilities, Sabel said.
"We've always intended and guided to do midterm contracts, but we needed to get to the right spot," Sabel said. "We needed to get Plaquemines ramped up and then we needed to have visibility on when CP2 would begin to turn on."
VG is also proceeding in talks with customers for 20-year deals.
Sabel said the ramp-up at CP2 will produce above the previously forecast 550 commissioning cargoes, which the company sells on the spot market before beginning commercial deliveries to its customers.
VG's extended commissioning process led to seven arbitration cases with its Calcasieu Pass customers. The LNG producer has two recent wins, prevailing over Repsol in January and winning over Shell's appeal in early March. Sabel expects to settle at least some of three outstanding cases — brought by Italy's Edison, Portugal's Galp and Poland's Orlen — as a result of those recent wins. If not, tribunals will likely rule on those in 2026 and 2027.
BP prevailed over VG in its case last October and is seeking more than $1bn in damages. VG does not expect there to be a hearing until 2027, the company said earlier this month.
