After extensive US-China trade negotiations, China has agreed to allow Chinese companies to negotiate long-term contracts to source liquefied natural gas (LNG) from US suppliers.
“In the longer term, the deal paves the way for a second wave of investment in US LNG,” Massimo Di-Odoardo of energy research firm Wood Mackenzie was quoted by Fuelfix as saying. “Developers will now be able to target Chinese buyers directly, potentially supporting project financing. It could also support direct Chinese investment into liquefaction and upstream developments on US soil.”
China National Petroleum Corp’s Chairman said the company will buy more US oil and is looking into investment in liquefied natural gas facilities and transport, reports Bloomberg.