World’s third largest LNG player, with a global portfolio of 44 Mt/y in 2023 – TotalEnergies, has announced the signing of a “Heads of Agreement” (HoA) with BOTAS for the delivery of 1.1 million tons of LNG per year for ten years starting from 2027, in line with its strategy to grow its long-term liquefied natural gas (LNG) sales.
This agreement, according to the company’s statement posted to Energy Window International by email, will allow it strengthen its long-term presence in the Turkish LNG market. Natural gas plays a crucial role as a transition energy, addressing the intermittency of renewable energy sources and reducing emissions by replacing coal in electricity generation.
“We are pleased,” says Gregory Joffroy, Senior Vice President, LNG at TotalEnergies, “to initiate a new long-term collaboration with BOTAŞ, a key partner for the Company in Türkiye. This agreement enables us to secure long-term sales and reduce our exposure to spot market gas price fluctuations.”
With sufficient interests in liquefaction plants in all geographies, TotalEnergies has been benefiting from an integrated position across the LNG value chain, including production, transportation, access to more than 20 Mt/y of regasification capacity in Europe’s trading and LNG bunkering. One of its ambitions is to increase the share of natural gas in its sales mix to close to 50% by 2030, reduce carbon emissions, and eliminate methane emissions usually associated with the gas value chain, while working with the local partners to promote the transition from coal to natural gas.