Equinor aims to expand its liquefied natural gas supply portfolio to between 10 million and 15 million metric tons per year (tpy) early in the next decade to meet demand from Europe and Asia, senior executives said.
The Norwegian producer is expected to announce a second deal to supply LNG to an Asian customer this week, Ingvar Egeland, Equinor's vice president for LNG, told Reuters.
Equinor committed to a 15-year LNG supply deal with India's Deepak Fertilizers and Petrochemicals Corp in May.
"We have been in dialogue with many counterparties, especially in India and also places in Southeast Asia, wanting to have new sources," Egeland said, adding that Equinor focuses on supply deals to state energy companies and fertiliser producers.
Key points in the Equinor announcement:
- Target expansion: Equinor aims to expand its liquefied natural gas (LNG) supply portfolio to 10–15 million metric tons per year by the early 2030s to meet growing European and Asian demand.
- Asian market focus and supply growth: Driven by supply disruptions in the Middle East, Equinor is aggressively pursuing Asian buyers (such as state energy firms and fertilizer producers like India's Deepak Fertilizers) while ramping up U.S. supplies from Cheniere’s Sabine Pass to double its portfolio to 7 million metric tons per year by 2030.
- Future supply sources: The targeted expansion excludes its delayed mega-project in Tanzania and will look to secure supply from the U.S. East Coast, Western Canada, South America, and non-Tanzanian African nations.
The U.S.-Israeli war on Iran has prevented Qatar and the United Arab Emirates from exporting most of their LNG via the Strait of Hormuz, where a fifth of global supplies used to pass, forcing Asian buyers to seek other supplies.
Equinor lifted its first U.S. LNG cargo from Cheniere's Sabine Pass export facility in August and expects its supply portfolio to double to 7 million tpy in 2030 when the U.S. supplies are fully ramped up. Half of the supply comes from its Hammerfest LNG plant in Norway.
Equinor planned expansion
Equinor plans to expand supplies to 10 million to 15 million tpy by the early 2030s, including cargoes priced on Brent to diversify its price exposure, Egeland said.
The volume excludes Tanzania, he added, where Equinor is pursuing a project that has been delayed by negotiations with the government.
Tanzania's deputy energy minister said this week that the government could pass a new law governing LNG investments by the end of the year.
Egeland said potential sources of new supply include the east coast of the U.S., the west coast of Canada, South America, and African countries besides Tanzania.
