On Tuesday, Qatar signed a 15-year contract, allowing its producers to supply Liquefied Natural Gas to Germany.
The nation’s state-run firm, QatarEnergy, and ConocoPhillips were involved in the deal, which is set to begin in 2026.
Under the agreement, Qatar will provide two million tons of commodity yearly, delivering it to the Brunsbuettel LNG terminal.
Additionally, Germany started to build five terminals as part of the plan to replace Russian gas.
The deal happened while the European economic powerhouse rushed to search for an alternative gas supplier.
This scramble came after Russia cut its gas supply to the region. Also, it is a move to support Ukraine after the Russian invasion.
However, the decision caused an energy crisis as Germany received more than half of its fuel from Moscow.
According to a report, the country has not received any Russian gas.
To address the crisis, Berlin decided to extend its three nuclear power plants’ lives and reactivate coal and oil stations.
Currently, most of the German gas supply comes from Netherlands, Norway, and Belgium.
Despite the energy crunch, Europe’s largest economy pointed out the country’s goal to be carbon-neutral by 2045.
The nation noted the need to reduce its gas consumption starting mid-2023 to meet its goal.
Mexico to Expand Mayakan Natural Gas Pipeline
The Comision Federal de Electricidad (CFE) of Mexico signed another deal with a private sector firm to expand its natural gas supply.
As part of the deal, the French Company Engie SA will work with Mexico to expand the Mayakan pipeline’s capacity.
Before the deal, Engie had already indicated that they could still double the capacity of the 483-mile pipeline.
Furthermore, the firm’s executives said they planned to extend the pipeline to Quintana Roo State’s Cancun.
According to Mexico, the pipeline will operate by 2025 and will have the capacity to supply six CFE generation plants.
In the meantime, an Engie spokesperson said they would reveal further details on the project at the right time.
