Venture Global, a fast-rising developer of U.S. liquified natural gas (LNG) terminals for export to markets around the world, has attracted more business from a long-term customer in Malaysia.
Petronas LNG has signed onto a 20-year sales and purchase agreement with Venture Global to deliver LNG produced from U.S. natural gas plays. Natural gas is delivered by pipeline to Venture’s liquefaction terminals on the U.S. Gulf of Mexico coast, then chilled to minus 260 degrees Fahrenheit to liquify it, reduce gas pressure and make it stable for shipping.
Petronas LNG is a subsidiary of Malaysian state-owned oil and gas company Petronas. Malaysia itself is a significant LNG exporter and the second highest producer of petroleum products in southeast Asia, according to reports.
Under the 20-year agreement, Petronas will purchase one million metric tons of LNG annually produced from Venture’s CP2LNG facility. This latest purchase follows an earlier transaction in which Petronas agreed to acquire one million tons of LNG supply from Venture’s Plaquemines terminal on the Gulf of Mexico Coast.
Venture Global recently closed on a $3 billion bank loan facility to complete the building project for the CP2 facility in Cameron Parish, Louisiana. Work on the CP2 terminal, which began in 2023, is happening along the Calcasieu Ship Channel, where the company’s first LNG project, Calcasieu Pass (pictured above), started production in 2022.
Plaquemines LNG was completed and achieved first LNG production in December 2024. Altogether, Venture Global’s construction and development goal is to produce more than 100 million metric tons of LNG per year.
The U.S. is the world’s top producer and exporter of LNG at close to 15 billion cubic feet per day, with some 28 billion cubic feet of daily capacity in various stages of operation and construction, according to the federal Department of Energy. Due to the exponential growth of domestic gas production in the various plays such as the Bakken, Marcellus and Utica shales, the nation became a net LNG exporter in 2016.
Last year, the financial value of total U.S. LNG exports topped $28 billion in trade revenue. The transactional value was higher, at above $30 billion annually, in 2022 and 2023.
Other LNG exporters in the U.S. include Cheniere Energy, ExxonMobil, Southern and Sempra LNG.
