TotalEnergies SE has signed a heads of settlement (HoA) with South Korea’s HD Hyundai Chemical.
The settlement, with costs listed each to Brent and Henry Hub, is for the supply of 200,000 tons of liquefied pure fuel (LNG) per 12 months for seven years beginning in 2027, the French oil main stated in a information launch.
The settlement strengthens TotalEnergies’ long-term place in South Korea, the world’s third-largest LNG-importing nation, the corporate stated.
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In Asia, LNG serves as a real transition power, mitigating the intermittency of renewable power sources and lowering emissions when it replaces coal in electrical energy technology, the corporate famous.
“We’re happy with this settlement with HD Hyundai Chemical, which can provide pure fuel to one among their industrial websites. This settlement permits us to proceed securing long-term gross sales in Asia and scale back our publicity to identify market fuel costs,” Gregory Joffroy, Senior Vice President for LNG at TotalEnergies, stated.
TotalEnergies stated it’s the world’s third largest LNG participant with a world portfolio. The corporate advantages from an built-in place throughout the LNG worth chain, together with manufacturing, transportation, entry to regasification capability in Europe, buying and selling, and LNG bunkering. Its ambition is to extend the share of pure fuel in its gross sales combine to shut to 50% by 2030, to cut back carbon emissions and eradicate methane emissions related to the fuel worth chain, and to work with native companions to advertise the transition from coal to pure fuel, in response to the discharge.
SAF Settlement with Air France-KLM
In the meantime, TotalEnergies signed an settlement with Air France-KLM to produce as much as 1.5 million tons of sustainable aviation gas (SAF) to Air France-KLM Group airways over a 10-year interval, till 2035.
The settlement marks one of many largest SAF buy contracts signed by Air France-KLM to this point, in response to a separate information launch. In 2022 and 2023, Air France-KLM was the world’s main SAF person, representing 17 p.c and 16 p.c of whole world manufacturing respectively. The contract builds on a memorandum of understanding (MoU) signed in 2022 for the availability of 800,000 tons of SAF.
The SAF provided by TotalEnergies to Air France-KLM will probably be constituted of waste and residues from the round economic system and will probably be produced in TotalEnergies’ French and European biorefineries and refineries by coprocessing. The SAF will probably be used to gas flights operated by Air France-KLM’s airways on departure from France, the Netherlands, and different European nations.
SAF permits for a discount in carbon dioxide emissions of no less than 75 p.c and as much as 90 p.c over your complete gas life cycle, in contrast with fossil gas equivalents, in response to the discharge.
“SAF contributes each to the power transition of our prospects within the aviation sector and to the economic transition of our refineries. It subsequently represents an actual ‘win-win’ for the way forward for business and aviation”, Patrick Pouyanné, Chairman and CEO of TotalEnergies, stated. “For the previous 10 years, we have now been pioneers within the subject, investing in biorefineries and SAF manufacturing services in France in addition to creating coprocessing applied sciences in our refineries. Constructing on these industrial successes, we intend to proceed this momentum in Europe and worldwide”.
“Securing the volumes of extra sustainable aviation gas wanted to decarbonize our exercise is a significant problem. This settlement with TotalEnergies is an additional step on this path, and a testomony to our long-standing help for the event of SAF manufacturing in France and Europe. A strong SAF sector able to assembly our business’s wants is a key think about Europe’s sovereignty and power independence,” Benjamin Smith, CEO of Air France-KLM Group, stated.
To contact the creator, electronic mail rocky.teodoro@rigzone.com
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