Venture Global, Inc. (NYSE:VG) stock gained 4.7% after the company revealed a new 20-year Sales and Purchase Agreement (SPA) with PETRONAS LNG Ltd. (PLL), a subsidiary of the Malaysian state-owned energy corporation PETRONAS.
According to the terms, PETRONAS will acquire 1 million tonnes per year (MTPA) of liquefied natural gas from Venture Global’s CP2 LNG facility, marking the company’s third liquefaction project. This contract expands on an existing deal where PETRONAS committed to buying 1 MTPA from Venture Global’s Plaquemines LNG project.
Venture Global described PETRONAS as a “world-class partner in the LNG industry,” emphasizing the deepening relationship between the two firms. PETRONAS joins a roster of global customers from Europe, Asia, and other regions securing LNG supply from the CP2 development.
With this agreement, Venture Global has now secured contracts for about 10.75 MTPA out of the 14.4 MTPA total capacity planned for Phase One of the CP2 project, covering roughly 75% of the initial output.
This deal underscores the rising international demand for U.S.-produced LNG as countries look to diversify energy sources and strengthen their energy security strategies.