SINGAPORE (Dow Jones)
French oil major Total S.A. (TOT) aims to sign a sales and purchase agreement with China National Offshore Oil Corp. for liquefied natural gas by the end of this year, LNG Intelligence reported Thursday.
Guy Broggi, head of LNG supply at Total Gas and Power, was quoted as saying on the sidelines of a Shanghai conference that all negotiations with China National Offshore Oil are on track.
"I see no delay in the SPA; there are no problems," he said in the report.
"We will sign the SPA and start sales sometime after 2010."
In July 2007, Total signed a heads of agreement with China National Offshore Oil to sell it 1 million metric tons of LNG annually.
Total has not specified from where the LNG will be sourced.
"It will not be fixed. We will look at our entire portfolio of supply and decide what can be sent to China based on what we have," Broggi said in the report.
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