Delfin LNG, a German company and Securing Energy For Europe have signed an agreement to supply 1.5 million tons per year of U.S. Liquefied Natural Gas (LNG). The companies announced this on Tuesday.

Delfin announced in a release that the floating LNG vessels (FLNGs) it wants to deploy near Cameron Parish, Louisiana would export liquefied gas under the agreement.

Delfin stated that the FLNGs will be commissioned and constructed immediately after the free-onboard deliveries begin.

The timeline was not provided. The project has not made a final decision on investment.

Frederic Barnaud, SEFE's chief commercial officer, said: "This long-term contract with Delfin allows SEFE to diversify its LNG product portfolio and increase destination flexibility."

SEFE has LNG supply agreements in place with other U.S. producers, including Venture Global LNG.

Last Friday, U.S. Maritime Administration granted a license to Delfin for the construction of a deepwater LNG port.

The Department of Energy has also granted the company a license to export super-cooled gas up to 13,2 MTPA to countries without a free trade deal with the United States.

The U.S. has been the largest LNG exporter in the world and played a key role in providing Europe with the gas they need to replace Russian gas after Russia's invasion into Ukraine. (Reporting from Curtis Williams, Houston; Editing done by Leslie Adler).

(source: Reuters)