Amigo LNG Secures Long-Term LNG Sales Agreement with Gunvor Singapore

Amigo LNG, a Mexican joint venture between Texas-based Epcilon LNG and Singapore’s LNG Alliance, has recently finalized a multi-year sales and purchase agreement (SPA) with Gunvor Singapore. This independent commodity trading house has committed to purchasing 0.85 million tonnes per annum (mtpa) of liquefied natural gas (LNG) from Amigo LNG’s liquefaction facility, currently under development on Mexico’s West Coast. The SPA spans 20 years, with deliveries scheduled to commence once commercial operations begin at Amigo LNG’s first liquefaction train in the latter half of 2028.

Kalpesh Patel, Co-Head of LNG Trading at Gunvor, emphasized the significance of this partnership, stating, “Gunvor is dedicated to securing long-term LNG supplies to meet the evolving energy needs of our global customers. Collaborating with Amigo LNG aligns with our strategy of diversifying supply sources and supporting the global transition towards cleaner energy.”

Amigo LNG views this agreement as a pivotal achievement, solidifying its position as Mexico’s anticipated first large-scale LNG export terminal on the west coast of the Americas. The facility, situated in Guaymas, aims to capitalize on its strategic location near the prolific U.S. Permian Basin to offer competitive LNG supplies to customers in Asia and Latin America.

Besides enhancing global LNG supply chains, the Amigo LNG project is poised to enhance U.S.-Mexico energy trade by leveraging American natural gas exports through Mexico’s west coast, fostering cross-border energy integration.

Dr. Muthu Chezhian, CEO of LNG Alliance, expressed his satisfaction with Gunvor joining as a key foundation offtaker, stating, “This agreement underscores the confidence global energy players have in Amigo LNG’s capability to deliver reliable, flexible, and competitive LNG to international markets.”

This recent offtake deal follows Amigo LNG’s earlier announcement of a 20-year sales and purchase agreement with Sahara Group, further solidifying the project’s position in the LNG market.