Qatar Petroleum has announced the signing of a sale and purchase agreement to directly supply China with 600,000 metric tons of Liquefied Petroleum Gas (LPG) per year for a period of five years.
The long-term agreement was signed by Qatar Petroleum for Sale of Petroleum Products Company Ltd. (‘QPSPP’) and Oriental Energy (Singapore), with the contract starting in January 2019.
Qatar Petroleum president and chief executive Saad Sherida al-Kaabi, welcomed the signing, and said ‘This agreement reflects our marketing strategy for promoting direct engagement with end-users, especially in China. I would like to thank Oriental Energy for concluding this important agreement. We hope this deal will further enhance our energy relationship with China, as we place greater importance to meeting the needs of the world’s largest growing LPG market.’
Mr. Yan Jia Sheng, Vice-President of Oriental Energy Group and Managing Director of Oriental Energy (Singapore) International Trading Pte Ltd, signaled similar sentiments stating, ‘Through this first step, we hope to build a strong and sustainable relationship with Qatar Petroleum and to continue exploring other areas in which Qatar Petroleum and Oriental Energy can further collaborate on.’
Oriental Energy (Singapore) is a subsidiary of Oriental Energy, responsible for the procurement, trading and logistics of Oriental Energy.
Oriental Energy, China’s largest LPG player, has the largest LPG distribution network and LPG storage facilities in China. In addition, it has five major LPG importing terminals along with several petrochemical facilities.
The LPG industry continues to enjoy sustainable growth in China where LPG is used for domestic use and the growing petrochemical sector.
© Gulf Times Newspaper 2019