We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
VG Strengthens German LNG Market Presence With Expanded SEFE Deal
Read MoreHide Full Article
Key Takeaways
VG signed an amended 20-year deal with SEFE for 0.75 mtpa of additional LNG from its CP2 project.
The expanded deal brings SEFE's total LNG purchases from VG to 3 mtpa.
VG has delivered 80 LNG cargoes to Germany, enough to supply 8M households annually.
Venture Global Inc. (VG - Free Report) , a U.S.-based liquefied natural gas (“LNG”) exporter, mentioned that it has inked an expanded LNG offtake agreement with the German energy company, Securing Energy for Europe ("SEFE"), for the sale of additional LNG from its CP2 LNG project in Louisiana. The new contract serves as an amendment to the 20-year LNG sales and purchase agreement signed between the two firms in 2023.
Expanded LNG Agreement With SEFE Energy
Per the terms of the finalized agreement, SEFE Energy will purchase an additional 0.75 million tons per annum (mtpa) of LNG from the CP2 plant. This brings the total volume of LNG purchased by the German firm to 3 mtpa. The contract has a duration of 20 years. Venture Global anticipates that this deal will position it as the largest supplier of LNG to Germany.
VG has signed long-term LNG offtake agreements with SEFE Energy and EnBW in Germany, bringing the total contracted volumes to 5 mtpa. Additionally, the company has exported nearly 80 cargoes of LNG to Germany from its Calcasieu Pass and Plaquemines LNG facilities. This indicates a substantial amount of LNG delivered, providing sufficient power for approximately 8 million German households in a year. This underscores Venture Global’s growing significance in the German LNG market.
Strengthening Energy Security Across Europe
The company stated that this contract builds on its existing partnership with SEFE Energy and Germany. Venture Global’s role as a key supplier of LNG not only contributes to Germany’s energy security but also supports the European gas market by providing a reliable and affordable energy supply.
CP2 LNG Project Overview
The CP2 LNG facility is situated close to the Calcasieu Pass LNG facility, another plant developed by VG. The facility is currently under development, and the company aims to begin LNG exports from the plant by the third quarter of 2027. The LNG plant is anticipated to have 36 liquefaction trains and a nameplate capacity of 20 mtpa. Venture Global believes the CP2 LNG plant will play a key role in ensuring global energy security.
VG’s Zacks Rank & Key Picks
VG currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the energy sector are Flotek Industries Inc. (FTK - Free Report) , The Williams Companies, Inc. (WMB - Free Report) and Oceaneering International (OII - Free Report) . While Flotek Industries sports a Zacks Rank #1 (Strong Buy) at present, The Williams Companies and Oceaneering International carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Flotek Industriesspecializes in green chemistry, which provides innovative solutions aimed at reducing the environmental impact of the energy industry. The company develops specialty chemicals tailored for both domestic and international energy producers, as well as oilfield service companies. These chemicals not only help reduce the environmental impact of hydrocarbon production but also lower operational costs.
The Williams Companies, Inc. is a premier energy infrastructure provider in North America. The company’s core operations include finding, producing, gathering, processing and transporting natural gas and natural gas liquids. Williams boasts a pipeline system of more than 33,000 miles and is one of the largest domestic transporters of natural gas.
Oceaneering International delivers integrated technology solutions across all stages of the offshore oilfield lifecycle. The company is a leading provider of offshore equipment and technology solutions to the energy industry. OII’s proven ability to deliver innovative, integrated solutions supports ongoing client retention and new business opportunities, ensuring steady revenue growth.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
VG Strengthens German LNG Market Presence With Expanded SEFE Deal
Key Takeaways
Venture Global Inc. (VG - Free Report) , a U.S.-based liquefied natural gas (“LNG”) exporter, mentioned that it has inked an expanded LNG offtake agreement with the German energy company, Securing Energy for Europe ("SEFE"), for the sale of additional LNG from its CP2 LNG project in Louisiana. The new contract serves as an amendment to the 20-year LNG sales and purchase agreement signed between the two firms in 2023.
Expanded LNG Agreement With SEFE Energy
Per the terms of the finalized agreement, SEFE Energy will purchase an additional 0.75 million tons per annum (mtpa) of LNG from the CP2 plant. This brings the total volume of LNG purchased by the German firm to 3 mtpa. The contract has a duration of 20 years. Venture Global anticipates that this deal will position it as the largest supplier of LNG to Germany.
VG has signed long-term LNG offtake agreements with SEFE Energy and EnBW in Germany, bringing the total contracted volumes to 5 mtpa. Additionally, the company has exported nearly 80 cargoes of LNG to Germany from its Calcasieu Pass and Plaquemines LNG facilities. This indicates a substantial amount of LNG delivered, providing sufficient power for approximately 8 million German households in a year. This underscores Venture Global’s growing significance in the German LNG market.
Strengthening Energy Security Across Europe
The company stated that this contract builds on its existing partnership with SEFE Energy and Germany. Venture Global’s role as a key supplier of LNG not only contributes to Germany’s energy security but also supports the European gas market by providing a reliable and affordable energy supply.
CP2 LNG Project Overview
The CP2 LNG facility is situated close to the Calcasieu Pass LNG facility, another plant developed by VG. The facility is currently under development, and the company aims to begin LNG exports from the plant by the third quarter of 2027. The LNG plant is anticipated to have 36 liquefaction trains and a nameplate capacity of 20 mtpa. Venture Global believes the CP2 LNG plant will play a key role in ensuring global energy security.
VG’s Zacks Rank & Key Picks
VG currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the energy sector are Flotek Industries Inc. (FTK - Free Report) , The Williams Companies, Inc. (WMB - Free Report) and Oceaneering International (OII - Free Report) . While Flotek Industries sports a Zacks Rank #1 (Strong Buy) at present, The Williams Companies and Oceaneering International carry a Zacks Rank #2 (Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Flotek Industries specializes in green chemistry, which provides innovative solutions aimed at reducing the environmental impact of the energy industry. The company develops specialty chemicals tailored for both domestic and international energy producers, as well as oilfield service companies. These chemicals not only help reduce the environmental impact of hydrocarbon production but also lower operational costs.
The Williams Companies, Inc. is a premier energy infrastructure provider in North America. The company’s core operations include finding, producing, gathering, processing and transporting natural gas and natural gas liquids. Williams boasts a pipeline system of more than 33,000 miles and is one of the largest domestic transporters of natural gas.
Oceaneering International delivers integrated technology solutions across all stages of the offshore oilfield lifecycle. The company is a leading provider of offshore equipment and technology solutions to the energy industry. OII’s proven ability to deliver innovative, integrated solutions supports ongoing client retention and new business opportunities, ensuring steady revenue growth.