Santos (ASX:STO) inks 10-year LNG deal with Mitsubishi

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Santos (ASX:STO) has inked a 10-year agreement to sell liquefied natural gas (LNG) to a unit of Japan's Mitsubishi Corp from its Barossa project.

The agreement with Diamond Gas International is a contractual commitment for the sale of 1.5 million tonnes a year of Santos equity LNG from Barossa – with extension options – at a price based on the Platts Japan Korea Marker.

Santos chief executive officer Kevin Gallagher said the agreement was another step towards a final investment decision on Barossa, which is targeted for the first half of 2021.

Santos holds a 62.5 per cent operated interest in the Barossa joint venture.

Shares in Santos (ASX:STO) Shares are trading 2.28 per cent higher at $6.50

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Source: Finance News Network