Under the agreement, Sembcorp is set to import up to 0.6 million tonnes of liquefied natural gas (LNG) per annum.

Sembcorp Industries (Sembcorp) says its wholly-owned subsidiary, Sembcorp Fuels (Singapore), has signed a sale and purchase agreement with Chevron U.S.A (Singapore Branch), according to a Dec 5 release. 

Under the agreement, Sembcorp is set to import up to 0.6 million tonnes of liquefied natural gas (LNG) per annum. The LNG delivery is expected to commence from 20208 for a tenure of 10 years. 

According to the group, the agreement will further strengthen Sembcorp’s existing natural gas supply portfolio from diversified piped and liquefied sources globally. 

The group adds that it remains committed to supporting Singapore with a stable and resilient supply of energy. 

The agreement is not expected to have a material impact on the earnings per share and net tangible assets per share of Sembcorp for the financial year ending Dec 31. 

Shares in Sembcorp closed 1.5 cents higher, or up 2.73%, at $5.65 on Dec 5.