TotalEnergies Signs 15-Year Deal to Supply 400,000 Tons of LNG Annually to Dominican Republic
TotalEnergies Signs 15-Year Deal to Supply 400,000 Tons of LNG Annually to Dominican Republic

TotalEnergies Signs 15-Year Deal to Supply 400,000 Tons of LNG Annually to Dominican Republic

  • 16-Apr-2025 6:45 PM
  • Journalist: Gabreilla Figueroa

TotalEnergies has signed a Heads of Agreement (HoA) with Energía Natural Dominicana (ENADOM) to supply 400,000 tons of liquefied natural gas (LNG) annually for a period of 15 years. ENADOM, a joint venture between AES Dominicana and Energas, is focused on advancing energy infrastructure in the Dominican Republic. This LNG agreement, expected to begin in mid-2027, is subject to the finalization of the Sales and Purchase Agreements (SPAs). Pricing for the LNG will be indexed to the Henry Hub benchmark, aligning with market standards.

The long-term supply of LNG will support the operation of a new 470-megawatt combined-cycle power plant currently under construction. Once operational, this facility will play a critical role in expanding the Dominican Republic’s electricity generation capacity, enhancing energy security and stability across the country. The project reflects the nation's ongoing efforts to modernize its power sector and shift towards cleaner and more efficient sources of energy.

By incorporating natural gas into its energy mix, the Dominican Republic is taking a significant step in its transition away from more carbon-intensive fuels like coal and fuel oil. Natural gas, known for being a more environmentally friendly fossil fuel, will help reduce greenhouse gas emissions and support the country’s broader climate and sustainability goals.

Gregory Joffroy, Senior Vice President of LNG at TotalEnergies, expressed optimism about the partnership, stating, “We are pleased to have signed this agreement to answer, alongside AES and its partners, the energy needs of the Dominican Republic. This new contract underscores TotalEnergies' leadership in the LNG sector and our commitment to supporting the island's energy transition. It will be a natural outlet for our US LNG supply, which will progressively increase.”

Edwin De los Santos, Chief Executive Officer at ENADOM, highlighted the significance of the agreement in terms of investor confidence and long-term planning. “This agreement with TotalEnergies is the result of the confidence placed in the Dominican Republic's energy sector and, specifically, in ENADOM and AES. This partnership, alongside ENADOM’s demonstrated investment capabilities, ensures a reliable, competitive, and environmentally responsible energy supply. ENADOM is proud to play a pivotal role in the expansion and strengthening of the nation's energy matrix.”

This collaboration marks a major milestone for both companies and contributes to the development of a more resilient and sustainable energy system in the Dominican Republic, positioning the country to meet future electricity demand while lowering its carbon footprint.

TotalEnergies ranks as the world’s third-largest LNG player, boasting a global portfolio of 40 million tons per year in 2024, supported by its interests in liquefaction facilities across all regions. The company maintains a fully integrated position throughout the LNG value chain — from production and transportation to trading, LNG bunkering, and access to over 20 Mt/y of regasification capacity in Europe. As part of its strategic vision, TotalEnergies aims to increase natural gas to nearly 50% of its energy sales by 2030, helping to lower carbon emissions, eliminate methane leaks, and support the transition from coal to natural gas in collaboration with local partners.

Tags:

Natural Gas

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